This is one of the reasons i am still holding my leaps. But we are bottom feeding here, if Apple would have done the usual growth we had in the past 5 years, we wouldnt be arguing about all those details. The story has changed and the stock as reacted to it.
I wonder when 7% growth became lackluster.
You can't have record breaking qtrs every qtr for the rest of time. It's unreasonable expectations base on wishful analyst thinking.
Apple, the company is not in a crisis, but they stock sure is. Stock price is based on 2 things:
1. Valuation (Stock price divide by earning per share will give you the Price/earning indicator, which is one of many valuation stat)
2. Hopes of growth.
...
You can't have record breaking qtrs every qtr for the rest of time. It's unreasonable expectations base on wishful analyst thinking.
Explain Amazon.
Going from 100% to 7% in a year is a pretty big drop. Apple went from "high hopes of growth" to "neutral to negative" hopes of growth in a few months. 7% is a great value stock growth rate indeed. But until recently Apple was not a value stock. If Apple can maintain even only 7% EPS growth next year its currently undervalue even by value stock metrics. Keep in mind that the transition from a growth stock to a value stock means a lot of shares need to change hands, keeping the stock in the "mud" so to speak. Also, the yield is still to low for a value stock, Apple needs to double dividends to help the transition.
Amazon investors have very high "hopes of growth". Amazon also has margins problems because they are too low. Even a small improvement on margins will completely change Amazon valuation. Also, Amazon still is the leader on e-commerce, maintaining the hopes high.
That being said, "hopes of growth" is very subjective, this is why sometimes investors are dead wrong.
Going from 100% to 7% in a year is a pretty big drop. Apple went from "high hopes of growth" to "neutral to negative" hopes of growth in a few months. 7% is a great value stock growth rate indeed. But until recently Apple was not a value stock. If can maintain even only 7% growth next year its currently undervalue even by value stock metrics.
Amazon investors have very high "hopes of growth". Amazon also has margins problems because they are too low. Even a small improvement on margins will completely change Amazon valuation. Also, Amazon still is the leader on e-commerce, maintaining the hopes high.
That being said, "hopes of growth" is very subjective, this is why sometimes investors are dead wrong.
Amazon has had 1 profitable qtr in its existence. Apple made more profit in the last qtr than Amazon has made in its existence.
The rumor-mill says that Samsung won't be using their Exynos 5 Octa (8-core) processor for the next Galaxy phone, instead opting for the Exynos 5440 quad-core. Ram is still said to be 2GB, not 16. Launch is supposedly late March, but everything is only rumor of course. Nothing official.
It will have 8 cores and 32 GPUs. 16 GB of RAM. It will measure 12 inches in screen size to to be able to store the extra hardware and huge batteries to run the thing.
It will have 12, not 1, slots for expanded memory.
The UI will be margarine smooth.
It will be on par with the new HTC phone, the HTC phone will fail because their sales aren't based on overhyped marketing.
...please charge us a bit more as you've been doing for the past 10 years SO WELL and announce a product that would have a wow effect before all are cash are traded in Korea rather than here.
My iPhone 5 cost more than my iPhone 4, only because I opted for the 64GB model, the price was on par with what I paid for my 16GB 3G.
iPhone prices have steadily dropped or remained the same, what is this "charge us a little bit more" nonsense?
No problem. The market's been all over the place in recent months, easy to get the edgy stocks mixed up.
And Amazon does run on very slender margins, but aside from the last quarter their slow growth has been just steady enough over the years to earn some reasonable attention from investors.
Investors believe that company like Amazon which operates on slim margins and doing brisk business is most likely to go up, and believe that phenomenal growth like Apple has achieved is unsustainable and will eventually go down.
It will have 8 cores and 32 GPUs. 16 GB of RAM. It will measure 12 inches in screen size to to be able to store the extra hardware and huge batteries to run the thing.
It will have 12, not 1, slots for expanded memory.
Comments
I wonder when 7% growth became lackluster.
You can't have record breaking qtrs every qtr for the rest of time. It's unreasonable expectations base on wishful analyst thinking.
Explain Amazon.
Quote:
Originally Posted by jungmark
I wonder when 7% growth became lackluster.
You can't have record breaking qtrs every qtr for the rest of time. It's unreasonable expectations base on wishful analyst thinking.
Explain Amazon.
Going from 100% to 7% in a year is a pretty big drop. Apple went from "high hopes of growth" to "neutral to negative" hopes of growth in a few months. 7% is a great value stock growth rate indeed. But until recently Apple was not a value stock. If Apple can maintain even only 7% EPS growth next year its currently undervalue even by value stock metrics. Keep in mind that the transition from a growth stock to a value stock means a lot of shares need to change hands, keeping the stock in the "mud" so to speak. Also, the yield is still to low for a value stock, Apple needs to double dividends to help the transition.
Amazon investors have very high "hopes of growth". Amazon also has margins problems because they are too low. Even a small improvement on margins will completely change Amazon valuation. Also, Amazon still is the leader on e-commerce, maintaining the hopes high.
That being said, "hopes of growth" is very subjective, this is why sometimes investors are dead wrong.
Amazon has had 1 profitable qtr in its existence. Apple made more profit in the last qtr than Amazon has made in its existence.
Oh and when did they have 100% growth?
Quote:
Originally Posted by jungmark
Amazon has had 1 profitable qtr in its existence. Apple made more profit in the last qtr than Amazon has made in its existence.
Oh and when did they have 100% growth?
1. like I said, Amazon "hopes of growth" are very high.
2. http://ycharts.com/companies/AAPL/eps_growth
deleted
Quote:
Originally Posted by herbapou
1. like I said, Amazon "hopes of growth" are very high.
2. http://ycharts.com/companies/AAPL/eps_growth
How many years can these "hopes of growth" be stretched out for?
Quote:
Originally Posted by Gatorguy
The rumor-mill says that Samsung won't be using their Exynos 5 Octa (8-core) processor for the next Galaxy phone, instead opting for the Exynos 5440 quad-core. Ram is still said to be 2GB, not 16. Launch is supposedly late March, but everything is only rumor of course. Nothing official.
I was joking.
Quote:
Originally Posted by dasanman69
Of course you believe him, it's what you want to hear and it's what mindless sheep do. Me, I question everything whether I want to hear it or not.
Android ?
Quote:
Originally Posted by herbapou
1. like I said, Amazon "hopes of growth" are very high.
2. http://ycharts.com/companies/AAPL/eps_growth
So hope is better than actual is it ?
Quote:
Originally Posted by hfts
So hope is better than actual is it ?
So it seems.
Sorry, I misspoke. I confused amazon with something else
Quote:
Originally Posted by hfts
I'm waiting for the Galaxy 4 to appear.
It will have 8 cores and 32 GPUs. 16 GB of RAM. It will measure 12 inches in screen size to to be able to store the extra hardware and huge batteries to run the thing.
It will have 12, not 1, slots for expanded memory.
The UI will be margarine smooth.
It will be on par with the new HTC phone, the HTC phone will fail because their sales aren't based on overhyped marketing.
Quote:
Originally Posted by kenkan
...please charge us a bit more as you've been doing for the past 10 years SO WELL and announce a product that would have a wow effect before all are cash are traded in Korea rather than here.
My iPhone 5 cost more than my iPhone 4, only because I opted for the 64GB model, the price was on par with what I paid for my 16GB 3G.
iPhone prices have steadily dropped or remained the same, what is this "charge us a little bit more" nonsense?
Quote:
Originally Posted by herbapou
1. like I said, Amazon "hopes of growth" are very high.
2. http://ycharts.com/companies/AAPL/eps_growth
Please explain.
Quote:
Originally Posted by dasanman69
Of course you believe him, it's what you want to hear and it's what mindless sheep do. Me, I question everything whether I want to hear it or not.
Quote:
Originally Posted by hfts
Android ?
Google overlords?
deleted
Dont expect me to explain why amazon "hopes" are so high i dont get it myself. Imo that thing is way way overbought. I sure dont share those hopes.
Investors believe that company like Amazon which operates on slim margins and doing brisk business is most likely to go up, and believe that phenomenal growth like Apple has achieved is unsustainable and will eventually go down.
Quote:
Originally Posted by hfts
I'm waiting for the Galaxy 4 to appear.
It will have 8 cores and 32 GPUs. 16 GB of RAM. It will measure 12 inches in screen size to to be able to store the extra hardware and huge batteries to run the thing.
It will have 12, not 1, slots for expanded memory.
The UI will be margarine smooth.
You forgot the 4 mini-USB ports.
Quote:
Originally Posted by AdamC
Perhaps
Perhaps you are not aware that 1st 2012 had 14 weeks vs 13 weeks got 1st 2013 or you are simply ignorant.
Sorry didn't mean to lecture someone who was into stocks since llci or whatever.
^this^
Valid criticism is always good, but let's base it on the actual math is my preference.