While there has been an understandable downturn in iPod sales...look for an upturn over the next few years with people upgrading to a whole new generation of "touch' based iPods.
Tell me this, Tailpipe. What would you call OTHER analysts (than Piper Jaffray) when they recommended Microsoft at 37.50 late last winter when IT dropped to 26.80 earlier this year? That TOO is about a 30% drop in its stock price, when AAPL's was about 40% in the same period.
In the UK we have a marvellous word to describe such people it starts with C and ends in T. I risk getting banned if i spell it, but it is most apposite. I remember well what happened to MSFT and it wasn't pretty. I find it unbelievable that Reputable Wall Street firms allow people to churn out such unsubstantiated garbage as if they could genuinely predict future earnings. Walt Mossberg is a much better Apple analyst than most of the professional analysts. Perhpas it is because when people look at companies for the long-term rather than short-term gain that they seem to be more objective.
There is no doubt that Apple is a great company, with great products and a great future. it is also very good at managing investors' expectations. Unfortunately, these factors are alreadybuilt into the share price. The sheer buzz around the company artificially inflates the stock price above its 'real value'. That makes it much more volatile in times of uncertainty.
My advice to would be Apple investors is to buy Apple for the long-term. We haven't had the last blip in the market this year so there may well be other excellent buying opportunities. That said America,, unlike the sad excuse for a socialist led counry i now live in, has a reputation of turning out billion dollar company after billion dollar company. There are some great stocks out there.
People, the money is in the stock market volatility.
There are power brokers behind the scenes pulling huge swings$$ in exotic and barely legal instruments. Yeah, and Mac people aren't very financial (they think!).
Actually, the financial instruments (of money) are so complex the institutions themselves don't understand them. That's why credit is froze up, because nobody wants to trade what they can't evaluate (derivatives, SIVs, etc.).
I bet the story is yet to come out about rogue traders in some major institutions. And we will see more of their crap until congress can get its head around it and pass comprehensive laws--which is probably darn near impossible.
I watched a lot of TV last year while laid up with an injury, and I've noticed how Apple was scarcely mentioned at all on TV, CNN, stock channel etc. The newscasters (and Cramer!) would throw out a teaser line 'big news about Apple!!' and come back with, yes they posted good numbers, 'wow, we love Apple' (in unison, from the anchors). Precious little was ever said about Apple. It could be up 8% and it would be up on the display, but the anchors would skip over it!
Do you think maybe they couldn't mention Apple because they were HOLDING the stock?
Traders can make more during this volatility in a week than they normally make in a year.
They probably think they have total cover to do anything they want, after all, who is looking at Apple? Yeah, good old Apple. Shake and short that tree.
WE ARE WATCHING YOU. Traders better be careful or one of these days they will get caught for stock manipulation.
The U.S. is currently on Daylight Time and has been since the second Sunday in March. It is, in fact, EDT. I don't know what it says on your computer, but on mine it says 11:27.
So AAPL was downgraded from Market Perform by Morgan Keegan's analyst Tavis McCourt. Not having heard of him, I checkout out their MK's Analyst Performance disclosure for Q4 ("Transparency of Analysts' Performance Q4:07).
He rated 16 stocks, including Apple (AAPL) at Market Perform on 10/3/07 and Research in Motion (RIMM) at Outperform on 10/2/07.
After he rated it, AAPL lost 0.2% and RIMM was up 22.6% counted from the close of the day following his report to the close of 4/7/08. They both outperformed the market over that period. The change in S&P was -10.9%.
Of the other 14 stocks, he rated 7 as Market Perform. They went down on average 28.5% after his ratings. He missed that pretty badly, but so dod a lot of amateurs like me. But his 7 stocks rated "Outperform" really got to me. They were down an average of 27.3% -- pretty much the same as his Market Performers".
I can't can't put much faith in his analyses and ratings. Most of us could have done as well with a coin toss. But he sure did move the price of AAPL down this morning!
So AAPL was downgraded from Market Perform by Morgan Keegan's analyst Tavis McCourt. Not having heard of him, I checkout out their MK's Analyst Performance disclosure for Q4 ("Transparency of Analysts' Performance Q4:07).
He rated 16 stocks, including Apple (AAPL) at Market Perform on 10/3/07 and Research in Motion (RIMM) at Outperform on 10/2/07.
After he rated it, AAPL lost 0.2% and RIMM was up 22.6% counted from the close of the day following his report to the close of 4/7/08. They both outperformed the market over that period. The change in S&P was -10.9%.
Of the other 14 stocks, he rated 7 as Market Perform. They went down on average 28.5% after his ratings. He missed that pretty badly, but so dod a lot of amateurs like me. But his 7 stocks rated "Outperform" really got to me. They were down an average of 27.3% -- pretty much the same as his Market Performers".
I can't can't put much faith in his analyses and ratings. Most of us could have done as well with a coin toss. But he sure did move the price of AAPL down this morning!
The U.S. is currently on Daylight Time and has been since the second Sunday in March. It is, in fact, EDT. I don't know what it says on your computer, but on mine it says 11:27.
Right. 11:27 EST, not 11:27 EDT.
Look at the time the original article was published.
"Apple says Time Machine over AirPort Disk is unsupported feature
I am not sure. It runs the (non-trivial) risk of sending a very strong signal to the market that it is not a 'growth' company anymore.
Depends. Besides, if it is a growth stock, it will continue to rise.
At some point, stockholders will want some of the money they're hoarding unless Apple can show a very good reason why they should keep it. Don't forget MS had to give about $30 billion back to the shareholders. Apple's hoard is much smaller, but it's still pretty big relative to the size of the company, and will only grow.
Right. Dividends are a characteristic of "value" stocks. People comparing AAPL
and MSFT should keep this in mind when evaluating MSFT's performance since it
started paying dividends.
That's not true. Look at some of the biggest and most sucessful companies around, you will see that many offer dividends.
And what you're forgetting is that for most of the time it's been around, MS was the biggest growth stock anywhere, and they had dividends throughout most of that period.
Depends. Besides, if it is a growth stock, it will continue to rise.
At some point, stockholders will want some of the money they're hoarding unless Apple can show a very good reason why they should keep it. Don't forget MS had to give about $30 billion back to the shareholders. Apple's hoard is much smaller, but it's still pretty big relative to the size of the company, and will only grow.
The point was it will risk being perceived as not a growth stock if it pays dividends.
Stockholders can get some money out of the stock many ways, including:
1.sell far out of the money calls with short expiration dates. With the high volatility
of AAPL, their options are always overpriced.
2.sell a small percentage of your shares (which you have posted repeatedly are in the money)
I think some Apple exec (Jobs?) stated that Apple will use its cash to continue R&D while
other companies are cutting back, thus gaining ground on its competitors. I believe this will
In the UK we have a marvellous word to describe such people it starts with C and ends in T. I risk getting banned if i spell it, but it is most apposite. I remember well what happened to MSFT and it wasn't pretty. I find it unbelievable that Reputable Wall Street firms allow people to churn out such unsubstantiated garbage as if they could genuinely predict future earnings. Walt Mossberg is a much better Apple analyst than most of the professional analysts. Perhpas it is because when people look at companies for the long-term rather than short-term gain that they seem to be more objective.
I sure wish people complained this vehemently when analysts were positive about Apple. As it is, they're only idiots when they are negative, which makes it clear that they reason people think they are idiots is because what they are saying goes against what people want and believe.
That's not true. Look at some of the biggest and most sucessful companies around, you will see that many offer dividends.
And what you're forgetting is that for most of the time it's been around, MS was the biggest growth stock anywhere, and they had dividends throughout most of that period.
Name a few of these big successful dividend-paying companies and I think you will find
they are considered "value" rather than "growth" companies.
MSFT started paying dividends in 2003, during which year their stock price ranged from
about 22.5 to 30. It is still there. Most of its growth was before the tech bubble burst in
early 2000. (and before it started paying dividends)
The one thing we can see though, is Apple's purchase of NAND. That's down a great deal, unexpectedly. No doubt due to the recession, and the lower than expected iPod sales.
John Gruber commented on this earlier today.
Analysts predict NAND spending is going to increase by a fantastic amount.
Apple anounces it expects to spend 1.4B on NAND.
Analysts note that Apple is "slashing" NAND orders.
However, the amount that Apple reported is actually up 12% from the previous year.
The real kicker, though, is when you combine this with the sudden drop in NAND prices. A 12% increase is actually a much greater increase.
Comments
I find it hilarious that a post at 11:27 AM EDT could characterize something as happening this afternoon.
Where do you hide the crystal ball?
And where is the time machine?
The article was published: 11:25 AM EST, not EDT.
It's inevitable...
Tell me this, Tailpipe. What would you call OTHER analysts (than Piper Jaffray) when they recommended Microsoft at 37.50 late last winter when IT dropped to 26.80 earlier this year? That TOO is about a 30% drop in its stock price, when AAPL's was about 40% in the same period.
In the UK we have a marvellous word to describe such people it starts with C and ends in T. I risk getting banned if i spell it, but it is most apposite. I remember well what happened to MSFT and it wasn't pretty. I find it unbelievable that Reputable Wall Street firms allow people to churn out such unsubstantiated garbage as if they could genuinely predict future earnings. Walt Mossberg is a much better Apple analyst than most of the professional analysts. Perhpas it is because when people look at companies for the long-term rather than short-term gain that they seem to be more objective.
There is no doubt that Apple is a great company, with great products and a great future. it is also very good at managing investors' expectations. Unfortunately, these factors are alreadybuilt into the share price. The sheer buzz around the company artificially inflates the stock price above its 'real value'. That makes it much more volatile in times of uncertainty.
My advice to would be Apple investors is to buy Apple for the long-term. We haven't had the last blip in the market this year so there may well be other excellent buying opportunities. That said America,, unlike the sad excuse for a socialist led counry i now live in, has a reputation of turning out billion dollar company after billion dollar company. There are some great stocks out there.
There are power brokers behind the scenes pulling huge swings$$ in exotic and barely legal instruments. Yeah, and Mac people aren't very financial (they think!).
Actually, the financial instruments (of money) are so complex the institutions themselves don't understand them. That's why credit is froze up, because nobody wants to trade what they can't evaluate (derivatives, SIVs, etc.).
I bet the story is yet to come out about rogue traders in some major institutions. And we will see more of their crap until congress can get its head around it and pass comprehensive laws--which is probably darn near impossible.
I watched a lot of TV last year while laid up with an injury, and I've noticed how Apple was scarcely mentioned at all on TV, CNN, stock channel etc. The newscasters (and Cramer!) would throw out a teaser line 'big news about Apple!!' and come back with, yes they posted good numbers, 'wow, we love Apple' (in unison, from the anchors). Precious little was ever said about Apple. It could be up 8% and it would be up on the display, but the anchors would skip over it!
Do you think maybe they couldn't mention Apple because they were HOLDING the stock?
Traders can make more during this volatility in a week than they normally make in a year.
They probably think they have total cover to do anything they want, after all, who is looking at Apple? Yeah, good old Apple. Shake and short that tree.
WE ARE WATCHING YOU. Traders better be careful or one of these days they will get caught for stock manipulation.
And where is the time machine?
The article was published: 11:25 AM EST, not EDT.
Say What?
The U.S. is currently on Daylight Time and has been since the second Sunday in March. It is, in fact, EDT. I don't know what it says on your computer, but on mine it says 11:27.
He rated 16 stocks, including Apple (AAPL) at Market Perform on 10/3/07 and Research in Motion (RIMM) at Outperform on 10/2/07.
After he rated it, AAPL lost 0.2% and RIMM was up 22.6% counted from the close of the day following his report to the close of 4/7/08. They both outperformed the market over that period. The change in S&P was -10.9%.
Of the other 14 stocks, he rated 7 as Market Perform. They went down on average 28.5% after his ratings. He missed that pretty badly, but so dod a lot of amateurs like me. But his 7 stocks rated "Outperform" really got to me. They were down an average of 27.3% -- pretty much the same as his Market Performers".
I can't can't put much faith in his analyses and ratings. Most of us could have done as well with a coin toss. But he sure did move the price of AAPL down this morning!
AppleInsider has outsourced their writing staff to India.
What does India have to do with it? (Doesn't even make sense time zone-wise, since 11.25 AM on the US east coast is night there).
It's too bad Apple has no dividends at all.
I am not sure. It runs the (non-trivial) risk of sending a very strong signal to the market that it is not a 'growth' company anymore.
So AAPL was downgraded from Market Perform by Morgan Keegan's analyst Tavis McCourt. Not having heard of him, I checkout out their MK's Analyst Performance disclosure for Q4 ("Transparency of Analysts' Performance Q4:07).
He rated 16 stocks, including Apple (AAPL) at Market Perform on 10/3/07 and Research in Motion (RIMM) at Outperform on 10/2/07.
After he rated it, AAPL lost 0.2% and RIMM was up 22.6% counted from the close of the day following his report to the close of 4/7/08. They both outperformed the market over that period. The change in S&P was -10.9%.
Of the other 14 stocks, he rated 7 as Market Perform. They went down on average 28.5% after his ratings. He missed that pretty badly, but so dod a lot of amateurs like me. But his 7 stocks rated "Outperform" really got to me. They were down an average of 27.3% -- pretty much the same as his Market Performers".
I can't can't put much faith in his analyses and ratings. Most of us could have done as well with a coin toss. But he sure did move the price of AAPL down this morning!
Nice.
Say What?
The U.S. is currently on Daylight Time and has been since the second Sunday in March. It is, in fact, EDT. I don't know what it says on your computer, but on mine it says 11:27.
Right. 11:27 EST, not 11:27 EDT.
Look at the time the original article was published.
"Apple says Time Machine over AirPort Disk is unsupported feature
By AppleInsider Staff
Published: 04:00 PM EST"
http://www.appleinsider.com/articles...downgrade.html
I am not sure. It runs the (non-trivial) risk of sending a very strong signal to the market that it is not a 'growth' company anymore.
Depends. Besides, if it is a growth stock, it will continue to rise.
At some point, stockholders will want some of the money they're hoarding unless Apple can show a very good reason why they should keep it. Don't forget MS had to give about $30 billion back to the shareholders. Apple's hoard is much smaller, but it's still pretty big relative to the size of the company, and will only grow.
I am not sure. It runs the (non-trivial) risk of sending a very strong signal to the market that it is not a 'growth' company anymore.
Right. Dividends are a characteristic of "value" stocks. People comparing AAPL
and MSFT should keep this in mind when evaluating MSFT's performance since it
started paying dividends.
Right. Dividends are a characteristic of "value" stocks. People comparing AAPL
and MSFT should keep this in mind when evaluating MSFT's performance since it
started paying dividends.
That's not true. Look at some of the biggest and most sucessful companies around, you will see that many offer dividends.
And what you're forgetting is that for most of the time it's been around, MS was the biggest growth stock anywhere, and they had dividends throughout most of that period.
Depends. Besides, if it is a growth stock, it will continue to rise.
At some point, stockholders will want some of the money they're hoarding unless Apple can show a very good reason why they should keep it. Don't forget MS had to give about $30 billion back to the shareholders. Apple's hoard is much smaller, but it's still pretty big relative to the size of the company, and will only grow.
The point was it will risk being perceived as not a growth stock if it pays dividends.
Stockholders can get some money out of the stock many ways, including:
1.sell far out of the money calls with short expiration dates. With the high volatility
of AAPL, their options are always overpriced.
2.sell a small percentage of your shares (which you have posted repeatedly are in the money)
I think some Apple exec (Jobs?) stated that Apple will use its cash to continue R&D while
other companies are cutting back, thus gaining ground on its competitors. I believe this will
be better for AAPL stock in the long run.
In the UK we have a marvellous word to describe such people it starts with C and ends in T. I risk getting banned if i spell it, but it is most apposite. I remember well what happened to MSFT and it wasn't pretty. I find it unbelievable that Reputable Wall Street firms allow people to churn out such unsubstantiated garbage as if they could genuinely predict future earnings. Walt Mossberg is a much better Apple analyst than most of the professional analysts. Perhpas it is because when people look at companies for the long-term rather than short-term gain that they seem to be more objective.
I sure wish people complained this vehemently when analysts were positive about Apple. As it is, they're only idiots when they are negative, which makes it clear that they reason people think they are idiots is because what they are saying goes against what people want and believe.
That's not true. Look at some of the biggest and most sucessful companies around, you will see that many offer dividends.
And what you're forgetting is that for most of the time it's been around, MS was the biggest growth stock anywhere, and they had dividends throughout most of that period.
Name a few of these big successful dividend-paying companies and I think you will find
they are considered "value" rather than "growth" companies.
MSFT started paying dividends in 2003, during which year their stock price ranged from
about 22.5 to 30. It is still there. Most of its growth was before the tech bubble burst in
early 2000. (and before it started paying dividends)
The one thing we can see though, is Apple's purchase of NAND. That's down a great deal, unexpectedly. No doubt due to the recession, and the lower than expected iPod sales.
John Gruber commented on this earlier today.
Analysts predict NAND spending is going to increase by a fantastic amount.
Apple anounces it expects to spend 1.4B on NAND.
Analysts note that Apple is "slashing" NAND orders.
However, the amount that Apple reported is actually up 12% from the previous year.
The real kicker, though, is when you combine this with the sudden drop in NAND prices. A 12% increase is actually a much greater increase.
The point was it will risk being perceived as not a growth stock if it pays dividends.
Stockholders can get some money out of the stock many ways, including:
1.sell far out of the money calls with short expiration dates. With the high volatility
of AAPL, their options are always overpriced.
2.sell a small percentage of your shares (which you have posted repeatedly are in the money)
I think some Apple exec (Jobs?) stated that Apple will use its cash to continue R&D while
other companies are cutting back, thus gaining ground on its competitors. I believe this will
be better for AAPL stock in the long run.
One could do those things, but it's not the point I was making.
Apple hasn't increased their R&D budget as a percentage of sales in any significant way in years. They even cut it a short while ago.
I wouldn't mind if they took down some of the cash for R&D.
Name a few of these big successful dividend-paying companies and I think you will find
they are considered "value" rather than "growth" companies.
MSFT started paying dividends in 2003, during which year their stock price ranged from
about 22.5 to 30. It is still there. Most of its growth was before the tech bubble burst in
early 2000. (and before it started paying dividends)
GE, IBM, Exxon-Mobile, to name a few.
Apple hasn't increased their R&D budget as a percentage of sales in any significant way in years. They even cut it a short while ago.
Cut absolutely or cut as a percentage of sales?
Sales are growing very fast. Trying to grow R&D
that fast would probably result in loss of control,
too many projects, waste, fragmentation, and fat ankles.