Why is AAPL stock price stagnant?

insider7insider7
Posted:
in AAPL Investors edited December 2015

Apple is the largest (by market cap) and, arguably, the best company in the world.  It is earning $ 9.22 per share yearly, and its PE is 12.87 (source Yahoo).  It is now in the midst of its traditionally best quarter of the year, and virtually all of the news stories of late have been positive.  Every analyst I have seen projects its stock price to move considerably higher from where it now languishes.  Why is it not moving upwards?   

Comments

  • Reply 1 of 4
    SpamSandwichSpamSandwich Posts: 33,407member
    insider7 wrote: »
    Apple is the largest (by market cap) and, arguably, the best company in the world.  It is earning $ 9.22 per share yearly, and its PE is 12.87 (source Yahoo).  It is now in the midst of its traditionally best quarter of the year, and virtually all of the news stories of late have been positive.  Every analyst I have seen projects its stock price to move considerably higher from where it now languishes.  Why is it not moving upwards?   

    My guess is that because it's such a widely held stock, with a predictable narrow range of trade over the past several years, that it is being bought and sold to such a degree that it has become an "income" stock, no longer a "growth" stock.
  • Reply 2 of 4
    crowleycrowley Posts: 10,453member
    insider7 wrote: »
    Apple is the largest (by market cap) and, arguably, the best company in the world.  It is earning $ 9.22 per share yearly, and its PE is 12.87 (source Yahoo).  It is now in the midst of its traditionally best quarter of the year, and virtually all of the news stories of late have been positive.  Every analyst I have seen projects its stock price to move considerably higher from where it now languishes.  Why is it not moving upwards?   
    Because there isn't enough buying to move the needle right now. Why's that? Jitteriness about a volatile stock perhaps, a not attractive enough dividend for institutional investors perhaps, not enough of a perceived upside for opportunists perhaps. Lots of reasons perhaps.

    The stock market is what it is. Complaining about it not following your line of rational thinking is complaining about it not being something that it isn't. It's the sum of all buyers' rationality, irrationality, optimisms and pessimisms expressed through one ticker price.
  • Reply 3 of 4
    singularitysingularity Posts: 1,328member
    What they need to do is go private /s
  • Reply 4 of 4
    SpamSandwichSpamSandwich Posts: 33,407member
    singularity wrote: »
    What they need to do is go private /s

    LOL! Yeah, private. That would solve everything. /s

    TBH, I won't miss Soggy once he self-bans.
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