Question about apple stock prices

jason1969jason1969
Posted:
in General Discussion edited January 2014
Just a general question since I don't know that much about the stock market, but Apple stock seems to keep going up and up. With the iphone, intel chips, and ipods its seems to me that Apple is poised to gain a lot of ground. Then so will the stock price, right? Will the stock split soon? Is there a ceiling as to how high it can go?



Thanks-

Jason

Comments

  • Reply 1 of 6
    SpamSandwichSpamSandwich Posts: 33,407member
    Quote:
    Originally Posted by jason1969 View Post


    Just a general question since I don't know that much about the stock market, but Apple stock seems to keep going up and up. With the iphone, intel chips, and ipods its seems to me that Apple is poised to gain a lot of ground. Then so will the stock price, right? Will the stock split soon? Is there a ceiling as to how high it can go?



    Thanks-

    Jason



    I'd advise getting some basic familiarity with stocks and how irrational the market can appear... try these sites (they get harder as you go down the list):



    http://money.howstuffworks.com/stock.htm



    http://en.wikipedia.org/wiki/Stock



    http://www.fool.com



    http://www.investopedia.com



    http://www.nyse.com



    http://www.nasdaq.com/aspx/ResearchAndToolsHub.aspx



    Also, if you do your research and save your money (I might be wrongly assuming you are a young person), getting into the stock market while you are young can be very instructive and provide extremely valuable experience whether you make or lose money.
  • Reply 2 of 6
    bobmarksdalebobmarksdale Posts: 744member
    Quote:
    Originally Posted by SpamSandwich View Post


    Also, if you do your research and save your money (I might be wrongly assuming you are a young person), getting into the stock market while you are young can be very instructive and provide extremely valuable experience whether you make or lose money.



    Given that his user name is jason1969, one would assume that would make him 37/38, and then by looking at his public info, one can also tell that he is in fact 37.
  • Reply 3 of 6
    SpamSandwichSpamSandwich Posts: 33,407member
    Quote:
    Originally Posted by bobmarksdale View Post


    Given that his user name is jason1969, one would assume that would make him 37/38, and then by looking at his public info, one can also tell that he is in fact 37.



    Well, then he's still a young man. He has his whole life ahead of him!
  • Reply 4 of 6
    bageljoeybageljoey Posts: 2,004member
    Quote:
    Originally Posted by jason1969 View Post


    Just a general question since I don't know that much about the stock market, but Apple stock seems to keep going up and up. With the iphone, intel chips, and ipods its seems to me that Apple is poised to gain a lot of ground. Then so will the stock price, right? Will the stock split soon? Is there a ceiling as to how high it can go?



    Thanks-

    Jason



    Spam had some good reading and advice for you. One thing you have to understand is that the stock price is determined by what people think the company is worth and what it is going to be worth. Therefore, the current high price already takes into account some expectation that the iPhone is going to do really well. Even if the iPhone turns out to be a success by all accounts and Apple sales increase, it is possible that the stock would go down if investors expected more spectacular results...



    The advice my dad gave me is sound, I think. "Don't buy stocks with money you cannot loose." There are no sure things. ( although for several years APPL has made that advice seem foolish)
  • Reply 5 of 6
    jason1969jason1969 Posts: 20member
    Hello-

    Thanks for the responses. I guess didn't really word my question correctly. I remember that Apple's stock had split about two years ago, when the stock price was only at around $80-90 dollars. It is at around $137 now as I type this. I know that there is plenty of room for Apple to gain in the computer market share, and they will. It would seem to me that they are a company worth investing in, no doubt, but really I'm asking when, or if, the stock will split again.



    Thanks
  • Reply 6 of 6
    bageljoeybageljoey Posts: 2,004member
    Quote:
    Originally Posted by jason1969 View Post


    Hello-

    Thanks for the responses. I guess didn't really word my question correctly. I remember that Apple's stock had split about two years ago, when the stock price was only at around $80-90 dollars. It is at around $137 now as I type this. I know that there is plenty of room for Apple to gain in the computer market share, and they will. It would seem to me that they are a company worth investing in, no doubt, but really I'm asking when, or if, the stock will split again.



    Thanks



    The problem is that that questions is not very useful. If you are investing for the long haul, stock splits don't affect anything. There can be bumps when a stock splits but this is not due to anything fundamental.

    If you are planning to be the kind of investor who buys at a split and then sells out after it (hopefully) goes up, then it does not matter what you think about their "gain in market-share."

    If you are thinking that Apple has years of growth and profit ahead then buy when you have the money, split or no.

    Stock splits do not mean anything except that there will be twice as many stocks that are worth half as much.



    Well, OK, it is true that in the past a lot of companies tended to split when their stocks reached a certain level (often at or near the triple digits). If you use hindsight and say "AOL split 4 times in the last 10 years and made their investors tons of money*" it might be technically true, but the cause and effect that may be implied is not valid. It was not going up because it was splitting, but splitting because it was going up. It was going up because investors thought the company was going to be very important and make tons of money in the future. Of course, just because they thought it, doesn't mean it was true...



    *Old example used on purpose
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