Apple stock price sets new post-split record closing at $183.83
Just days after widespread fears of bearishness on Apple because of bad guesses about iPhone X demand, the company's stock has hit a new high-water mark at $183.83 per share.
Just days after Apple's earnings, Apple's stock reached beat its previous high, reaching as high as $184.25, before closing at $183.83. This came just two weeks after the company's stock dipped to $162.12 on a negative analyst report by Morgan Stanley. The price eclipses the previous high of $181.72 set on March 12.
On Tuesday, Apple announced earnings that included $61.1 billion in revenue and 52.2 million iPhones sold, as well as a 31 percent surge in services revenue. The results were officially in line with expectations in terms of revenue, but also quieted analysts and other observers who had been raising the alarm about iPhone sales performance.
Just one week ago, the tech headlines were filled with negative stories about Apple, based on supply chain checks, and about fears that the company would report soft iPhone sales this week.
But days later, that's changed. First, Apple's earnings beat expectations, including strong iPhone sales numbers and huge growth in the services sector. And then, Thursday night, came news that America's most important investor, Warren Buffett, had made a huge bet on Apple during the quarter.
The purchases put Berkshire Hathaway third among Apple shareholders, behind Vanguard and BlackRock; Berkshire had already bought more stock in Apple than in any other company in 2017.
Buffett told CNBC that "If you look at Apple, I think it earns almost twice as much as the second most profitable company in the United States," even though "you can put all their products on a dining room table."
Buffett added that "The idea that you're going to spend loads of time trying to guess how many iPhone X ... are going to be sold in a three-month period totally misses the point It's like worrying about the number of BlackBerrys 10 years ago."
Apple CEO Tim Cook said in a statement to the network that he is "thrilled to have Warren and Berkshire as a major investor."
"On a personal level, I've always greatly admired Warren and have always been grateful for his insight and advice," Cook added.
Just days after Apple's earnings, Apple's stock reached beat its previous high, reaching as high as $184.25, before closing at $183.83. This came just two weeks after the company's stock dipped to $162.12 on a negative analyst report by Morgan Stanley. The price eclipses the previous high of $181.72 set on March 12.
On Tuesday, Apple announced earnings that included $61.1 billion in revenue and 52.2 million iPhones sold, as well as a 31 percent surge in services revenue. The results were officially in line with expectations in terms of revenue, but also quieted analysts and other observers who had been raising the alarm about iPhone sales performance.
Just one week ago, the tech headlines were filled with negative stories about Apple, based on supply chain checks, and about fears that the company would report soft iPhone sales this week.
But days later, that's changed. First, Apple's earnings beat expectations, including strong iPhone sales numbers and huge growth in the services sector. And then, Thursday night, came news that America's most important investor, Warren Buffett, had made a huge bet on Apple during the quarter.
Buffett to the rescue
Buffett revealed on CNBC Thursday night that Berkshire Hathaway had bought 75 million shares of Apple stock in the first quarter, bringing his total position in the company to over 240 million shares. Berkshire spent between $12 and $13 billion on the shares during the quarter, CNBC said.The purchases put Berkshire Hathaway third among Apple shareholders, behind Vanguard and BlackRock; Berkshire had already bought more stock in Apple than in any other company in 2017.
Buffett told CNBC that "If you look at Apple, I think it earns almost twice as much as the second most profitable company in the United States," even though "you can put all their products on a dining room table."
Buffett added that "The idea that you're going to spend loads of time trying to guess how many iPhone X ... are going to be sold in a three-month period totally misses the point It's like worrying about the number of BlackBerrys 10 years ago."
Apple CEO Tim Cook said in a statement to the network that he is "thrilled to have Warren and Berkshire as a major investor."
"On a personal level, I've always greatly admired Warren and have always been grateful for his insight and advice," Cook added.
Comments
I suspect that Apple bough more stock last week when it dip to $160
I think $197.44 will bring it to a $1T market cap with the current number of outstanding shares as listed by Google.
My math, in case someone wants to check it:
What would really put my mind at ease is if Apple would be able to stop that constant doom and gloom chatter that Wall Street throws at Apple. Warren Buffet could really help a lot if he can convince other big investors that Apple is a solid company worth buying. It's really amazing how such an old guy who doesn't even use Apple products understands the company better than most young investors do. I suppose he's just a fundamental investor who takes the long-term approach. Don't ignore a company because it doesn't have double-digit revenue growth. Don't judge a company by quarter-to-quarter results.
I'm glad earnings turned out as well as it did and I hope Wall Street doesn't forget when the next quarter's results are ready to come out. However, I'm sure the nastiness will happen again. Doesn't it always.
Agreed with the post above about breaking through a line of resistance, hopefully. Apple is absolutely crushing it from a revenue and profit standpoint.
https://www.quora.com/Why-do-humans-celebrate-base-10-milestones
Doomed!®️
The talk about momentum and lines of resistance are for short-term investors and day traders. Mr. Buffett is not one of them. A $20 fluctuation up or down in the short term is meaningless when someone like Mr. Buffett is anticipating around $2,000 of cash flow over the next 20 years. The stock price can go up or down wildly based on feelings and hunches and analysts who want to make a quick 5% on the flip; however, it is the long-term value that makes investing sense. Eventually the underlying cash generating value of the company will be reflected in the stock price regardless of the timing.
even though "you can put all their products on a dining room table."
Not everyone has a dining room table that could hold even the 50 odd million iPhones recently sold, never mind all their products.