Apple Briefly Ranked as Most Valuable Company in the World

[whooleytoo]

Good for Apple, but they are way over-valued if you ask me.

I really don't think so. Look at the markets they're thriving/dominating in:

- PCs (not dominating, but one of the largest PC makers, and with high margins)
- Smartphone devices
- Tablets
- Music sales (iTunes)
- Video sales (iTunes)
- Software sales (iOS and Mac App Stores)
- Books (iBookstore)
- Music players (ok, probably a shrinking market now)

They have their fingers in a lot of pies, and that makes them very resilient to changes/fluctuations in any one market. They're also strongest in new emerging segments (tablets, full-sized lightweight notebooks like the Air).

In fact, I think the iPad is going to get much bigger for Apple. For me, it's thriving even without a killer app. It has lots of apps, but no one app that you'd say "I'm buying an iPad just for that". Several of my friends have bought one and said the same thing as me: "It's cool and I love it, but I'm still trying to justify buying it".

 

[nerdo]

All that from a chart image?

What do you believe one is supposed to think after digesting this chart?

The debate over what constitutes a "valuable" company is a a longstanding one, and, like other longstanding dorm room controversies eventually comes down to a matter of taste. Some people value companies with armies of employees, while others see a higher value for companies with a higher level of profit per employee, or a high ratio of profit to employee costs. There are those who value a company as a function of its expected growth rate, others who focus more on the health of a balance sheet, and those who concentrate on free cash flow over time. Each group of investors has its own basket of criteria, and when added to the inevitable uncertainty about the facts and future facts pertaining to each faction's criteria, it makes for a robust open market.

If we all agreed on what makes one company more or less valuable than another, finance would be a far less interesting subject.

Nonetheless, I think we can all agree that Apple has created extraordinary value by successfully designing and marketing products and services that many consumers adore, and that the company's management, employees, and stockholders are certainly entitled to the fruits of their success.

 

[nerdo]

Leaving the biggest market for Microsoft still to expore, they will need a name change for this, but I think they can do it. Let's face it the real money is in PORN! Looking at how Balmer starts his speeches I am sure he watched porn just before coming on stage, jumping up and down with a swollen head ready to spew in the faces of the audience.

Public porn if there ever was any.

so what you think the new name should be?

I really don't think so. Look at the markets they're thriving/dominating in:

- PCs (not dominating, but one of the largest PC makers, and with high margins)
- Smartphone devices
- Tablets
- Music sales (iTunes)
- Video sales (iTunes)
- Software sales (iOS and Mac App Stores)
- Books (iBookstore)
- Music players (ok, probably a shrinking market now)

They have their fingers in a lot of pies, and that makes them very resilient to changes/fluctuations in any one market. They're also strongest in new emerging segments (tablets, full-sized lightweight notebooks like the Air).

In fact, I think the iPad is going to get much bigger for Apple. For me, it's thriving even without a killer app. It has lots of apps, but no one app that you'd say "I'm buying an iPad just for that". Several of my friends have bought one and said the same thing as me: "It's cool and I love it, but I'm still trying to justify buying it".

 

[pondosinatra]

Why doesn't Apple buy Dell!?!?

Because then we'd have to find someone else to buy our server hardware from after Apple is finished destroying their Enterprise division.

 

[nylonsteel]

re aapl price action on 8/9/11

nice roller coaster ride aapl

not as fun as some girls i play with but very dramtic

"shook me all night long..." - ac/dc

 

[Cartaphilus]

All that from a chart image?

See all you miss by being superficial?

 

[mjaco002]

Looks like Apple has crossed Exxon again...

Apple Market Cap - 339.46B
Exxon Market Cap - 334.32B

 

[Sjhonny]

Looks like Apple has crossed Exxon again...

Apple Market Cap - 339.46B
Exxon Market Cap - 334.32B

Nope, Exxon just crashed harder then Apple did . Therefor: Exxon crossed Apple

 

[Anonymous Freak]

Looks like Apple has crossed Exxon again...

Apple Market Cap - 339.46B
Exxon Market Cap - 334.32B

Apple - 341.2B
Exxon - 335.6B

Apple is increasing the lead.

http://www.google.com/finance?q=AAPL+XOM&hl=en for live updates of the comparison
http://www.wolframalpha.com/input/?i=AAPL+market+cap+/+XOM+market+cap for long term comparison, but only uses the market close values, so it still shows Apple slightly below Exxon.
http://www.wolframalpha.com/input/?i=AAPL+market+cap+/+MSFT+market+cap for long term comparison to Microsoft
http://www.wolframalpha.com/input/?i=AAPL+market+cap+/+DELL+market+cap for long term comparison to Dell

Switch between Log and Linear scales on the graphs to see the insanity.

 

[Speedy2]

True, this is a basic tenet, but once you get beyond Economics 101, it starts getting a little more complex.

Take a look at an export-driven economy, like Germany: if Apple was based there, local labor would have much greater representation on its board and on supervisory bodies. There is a very good chance more of the manufacturing and R&D would be done locally. There is also a great likelihood that Apple's senior management will make less money.

There is a balance, methinks. (I also think Apple's stock is way overpriced, kind of like the US housing market was, but what do I know....)

German companies still have a large number of their workforce in the country, that's true.
However, what has the fact that Germany's economy is export-driven to do with their worker-friendlier conditions and more balanced income situation? China is similarly export-driven and has little to none of these conditions.


Also, how can Apple be as overpriced as the housing market was when their P/E ratio is FOURTEEN with an excellent growth perspective? This couldn't be further away from a bubble. The housing market gained "value" out of nowhere, and that's where a lot of the "value" went back to.

 

[Speedy2]

So you'd rather champion mediocrity?

Tax the rich until they are like every one else...unable to provide others a living?

First off, no one with a sane mind wants to and will tax the rich so heavily that they are like "everyone else" (You make it sound as if that were bad thing in a country like the US). It would be a nice start if the top 5% paid the same amount percentage-wise as the 50% below them, which they don't. Currently they actually pay a substantially lower amount, for a number of reasons.

Anyway, where does this idea come form that "the rich" provide a living for others? Who are "the rich" anyway? If we are talking about owners of small to medium sized businesses, you are right. These are the job creators. But in the top 5% there are many more varities, like extremely well-paid managers, investment bankers, financial investors etc. These people don't create any jobs. To the contrary, they quite often help to outsource jobs. I don't see why they should get a free ride while the middle-class has to take most of the burden.

This is not about championing mediocrity or socialism or whatnot, this a about a fair and balanced approach of sharing the burden of the years to come. The rich will still be rich, don't worry.

 

[gnagy]

Face it - the dollar is about to go the way of the dodo (as is the Euro) as more and more public households fail. So basically - a year from now Apple will be below 100.

Mark my words

Exactly one year ago, you said Apple will be below 100. Today, it's at $620, which is close to the all-time high.

Hopefully, you didn't buy those put options.

I actually set a calendar notification on my iPhone, to make sure I remember to come back to this thread today.

 

[Surely]

Your words have been marked and I will be back here a year from now. I set a calendar notification. AAPL is still cheap. I would be shocked if AAPL is less than $450 a year from today.

Exactly one year ago, you said Apple will be below 100. Today, it's at $620, which is close to the all-time high.

Hopefully, you didn't buy those put options.

I actually set a calendar notification on my iPhone, to make sure I remember to come back to this thread today.

swagi, here's how you can treat the burn gnagy just gave you:

 

[swagi]

swagi, here's how you can treat the burn gnagy just gave you:

Image

Thanx.

I appreciate that you were right on this one. Nevertheless I personally think this whole situation is quite a perversion if you look at the actual facts:

- The whole EU is in a mess.
- Gladly this EU mess is overshadowing the US debt crisis.
- Apple currently has nothing up their sleeve. I switched to the SGIII as it currently is the best phone out there.
- Tablets are overvalued IMHO.
- If you take a look at Apple's quarterly results the fact remains, that dominance in the smartphone/tablet sector is not mirrored in massive iTMS revenue.

And basically I hope to recoup the loss in those put option with my call options on Nokia, as I think the comeback in the first week of September will be there (when they show their Windos 8 phones).

Thanx god I don't rely on stock buying. I'm too bad at closing out reality when stock trading is just about psychology. But I still honestly think that Apple could use their money much better, than they are doing now.

 

[twosee]

Exactly one year ago, you said Apple will be below 100. Today, it's at $620, which is close to the all-time high.

Hopefully, you didn't buy those put options.

I actually set a calendar notification on my iPhone, to make sure I remember to come back to this thread today.

Ha! This has got to be the funniest post I've seen on these forums!