Apple Announces Stock Split

[512ke]

"because the price is...rather $35 per share and "appears" more afforable."

Ah... as a 3 GHZ Pentium "appears" faster than a 2.5 GHZ G5.

Perception, perception, perception.

 

[dicklacara]

This just means I have more shares and lesser value, but my total is exactly the same. I would rather see apple at over 100, then split.

But now after the split, new investors will say "Apple for 40, what a deal, I'm buying."

There is reasonable chance of that happening. It would be about 20% return!

 

[macidiot]

to me it means a whole lot a good opportunity to buy my most valued stock at half the price it is today. stock splits are good.

That makes no sense whatsoever. So what your saying is that you think its good to buy 20 shares at 50 instead of 10 shares at 100? Guess what, you still just spent 1000.

And if thats your thinking...more is better, I'd be happy to trade you 10 crisp new 1 dollar bills for that lame old 20 dollar bill of yours. Just think, 10 for 1!

 

[macidiot]

I agree that it is more risky, but as they say nothing ventured, noting gained. Sure he could put that $1000 in something like IBM or Apple, but the possible gains are so minimal you're better off just buying a GIC or savings bond! If you're not prepared to take a risk, don't invest at all.

Anyways, I never said anything about investing in penny stocks. I'm sorry, but there is a big difference between some penny stock and an established resource stock (many of which trade under $1), where the company regularly reports drilling results, has hosts of financial backers, and millions in the bank.

This is where real money is made in the stock market - sorry if you don't have the guts for it.

So silly its almost sad. But since you appear to need some information here goes...

Gains so minimal by investing in Apple or IBM you might as well invest in a bond? Umm, the 30% gain by Apple in the past month and 400%+ gain in the past year blows a hole in that thinking. As for IBM, granted the stock hasn't done much lately, but the dividend alone makes it more attractive than bonds.

As for your "resource" stocks, if they trade under a dollar, they are by definition penny stocks. I have no doubt that there are some well capitalized responsible companies tradiing under a dollar. But the vast majority of them are priced the way they are for a reason. Things like...major corporate problems, shouldn't have gone public in the first place, too much float. All of which screams bad and/or deceptive management.

I know plenty about the risk/reward relationship in investing. I just happen to think that investing in penny stocks is the equivalent of going to a casino. You might hit it big, which sounds like you've had the good luck to do, but more often than not, your going to lose. There's also money to be made in mlm marketing schemes. Doesn't mean I want to do it.

About making real money in the market... its been proven time and time again that buying and holding good companies with good management wins out over any other strategy. Don't even bother arguing the point. Get back to me when you make over 100 billion investing in "resource" stocks. I suppose the BILLIONS Warren Buffett has made investing in "boring" companies like Gillette, Coca-Cola, Washington Post, and Disney isn't "real" money.

I've been investing for over 15 years and have a fairly good understanding of the markets. I also studied finance and majored in economics. My advice to you is to get some real experience under your belt before you advise beginning investors to invest in longshots. Right now it sounds more like the blind leading the blind.

Tell you what, if you manage to stick with your style of investing and are successful with it for say, 10 years, I will personally buy you dinner. Not that you'll need it since you'll probably be on the cover of Forbes, Fortune, and Barrons, having been hailed as the one of the greatest investors ever, having forced the investing world to rethink the way it should invest.

 

[legacyb4]

Wondering if Apple plans to split again before the Intel-Mac frenzy hits the street or if they will continue to ride the current pricing up and up?

 

[Lacero]

I dunno, but you got me all excited. It might do another stock split at $100.

 

[mxpiazza]

i bought at 37, now at almost 70... i feel like i should cut bait now, i was going to buy a ton of it a few years back when it was below 10, and i'm still kicking myself for that, so i think i'll stay put..

 

[danvdr]

I feel your pain

i bought at 37, now at almost 70... i feel like i should cut bait now, i was going to buy a ton of it a few years back when it was below 10, and i'm still kicking myself for that, so i think i'll stay put..

But it's only money.....

 

[ThomasJefferson]

Sit on it.
Sell just before Steve retires.