Wall Street is not paying much attention to the financials. They want to see growth. Apple can’t show growth anymore, but the financials are strong. Apple took away volume data from Wall Street, so Wall Street doesn’t know how to value AAPL anymore. Personally, I think it’s bonkers that AMZN is valued so incredibly high by Wall Street, and I think that thenprofit that Apple makes must be factored in its valuation. However, it’s also true that Tim Cook has no clue what to do with the hundreds of billions that Apple has accumulated. All Tim knows what to do is to blow the profits on buybacks. Maybe if Apple buys back enough shares, I can live on the dividend alone and not care about the share price anymore.
1) Since when did the bean counters of Wall Street understand how to value AAPL? Answer: Never.2) Share buy-backs are NOT blowing profit. Under the right circumstances (modest PE ratio and steady earnings) they are a great way to maintain and enhance shareholder value. ‘Momentum’ investors will never get that and that’s OK because, frankly, those guys are fools with too much of other people’s money to play craps with.
Apple's markup is 300% from cost of production they are still making money by the boat load ...
Mark Gurman has IN THE PAST not been known for breathless, phony reporting. I guess he’s willing to put his own reputation in tatters with clickbait journalism now.