Originally Posted by hitmantb
Apple stock even at $500 is worth more than Google/Microsoft combined. It is got a lot of room to fall once Apple loses the ability to command a premium.
I don't believe Android products are better (except the huge screen factor, Apple is too stubborn and a lot of us switched away from iPhone for screen size issue alone), but with the price of Nexus 4/7, Google is forcing everyone to lower prices to compete. The difference is Google doesn't need profit on hardware to win, once Apple loses the profit margin they will get wrecked.
Sorry Apple fans I really believe Apple stock value will be very similar to Google/Microsoft three years from now, and that is a 50% drop vs the current valuations . . .
What sort of bizarro math are you using?! Apple has a current forward P/E ratio similar to Microsoft at around 8.5 (which is crazy low...except Apple's future is currently brighter than ), while Google is at 15. Factor in the fact that Apple pays a 2% dividend while Google pays none, and Apple stock is technically a very good buy. Heck, if you run the numbers and assume that Apple growth stays flat from here on out, it should still be priced higher than it is now.