Will this be the year of the stock price (AAPL)?
Apple's stock price closed at just about $21 at year end. Historically, it's never been a really high flyer (doesn't help when analysts are rarely bullish on it), but will we ever see it back up around the $50 mark again?
Will the past year's success of iTMS, healthy iPod sales, and generally healthy quarters finally boost it's stock price?
Will the past year's success of iTMS, healthy iPod sales, and generally healthy quarters finally boost it's stock price?
Comments
I think. Did it get to 50 after the split, too?
Originally posted by spotcatbug
That 50 mark was pre-split. So, adjusted for the split, it's really at around 42 right now.
I think. Did it get to 50 after the split, too?
Yes, it was over 50 after the 2000 split.
The stock last split in June of 2000. I think it was in the 80's when it split. So then after the split it went from the low 40's to 60 later in the year...and then lost half its value on September 28 of that year and ended up in the teens. It has never really recovered.
It won't get back to 50 until they demonstrate they can do something other than tread water. They need to convince a lot of people that they have room for growth. There was a time they generated a lot of cash. A company with such a strong brand and a well-compensated CEO should really be making more money than they are.
apple is a very interesting company to watch, but aapl is not a good stock to invest in.
from what i read in the financial news, this seems to be more and more the opinion that is generally held.
apple is innovative.
apple's ceo is one of the best ceo in the world.
other companies follow apple's lead.
other companies try to follow it's innovations, even years later.
apple's design is spot on with what is happening in the best of the design centres of the world.
it has products that are appreciated and even loved by many of the world's great opinion leaders and trend setters.
it has its own chain of stores to get its direct marketing story across to the general public.
it has moved strategically into areas that are red hot: music and digital photography.
it is (still) a cash rich company.
but:
it has only less than 3% world wide market share. its market share continues to fall.
its stock rose gradually after iTunesMusicStore got into full swing. but the rally didnt last.
stock never even rose at all after the world's fastest desktop was announced (G5).
here are some words that come to mind when thinking about aapl and apple:
-boutique stock
-niche brand
here are some opportunities facing apple in the coming years:
-will it succeed in an approach to adhere to an "open standards" based approach to be able to entice 3d party users (linux, etc) to its platform in growing numbers?
-will it be able to stop the ersosion of its share in the education segment?
-will it be able to grow its share in the corporate segment?
-will it be able to get any incremental growth in emerging markets such as india, and south east asia?
-can it grow its share in a "mac centric" market like Japan to a respectable share?
wall street analysts only care about what is happening on the bottom line. i think that many of them as well are puzzled by why apple is not succeeding more than it is.
i dont think that the question is what is apple doing wrong, but what else apple needs to do in order to grow its sales in an IT saturated, increasingly price/commodity driven industry.
will we see an under US$149 iPod next week? I think so.
Originally posted by niji
i think that many of them as well are puzzled by why apple is not succeeding more than it is.
i dont think that the question is what is apple doing wrong, but what else apple needs to do in order to grow its sales in an IT saturated, increasingly price/commodity driven industry.
will we see an under US$149 iPod next week? I think so.
Good points. It does often make me wonder why Apple hasn't gained a larger market share by now. Of course, being a Machead I'm probably biased and see things from this side of the fence.
Unfortunately I think it's a question of profitability vs. marketshare. For Apple to really make a dent in the minds of masses, they've got to drop prices (some drastically).
When they do, you'll see a upturn in the marketshare. Problem is, you'll likely see a downturn in profits.
If so, who cares if the price goes way up ?
I care, because I invested (and I know you invest because you think the company will do well and it is a good company) and I would like to get some money back . I plan to sell half of it a 25 and wait for the other stuff (I was going to sell half at 25 when it actually got to 25, but there was a Snafu..yes)
it's higher than MSFT at the moment.