Photorun said:
Typical Wall Street, dumb money for soulless people based on rampant vacant rumor, speculation, lies, and corruption.
But go Apple!!! You're still three times better than Dell stock and hundreds of times better as a company.
I would have to say that there is a little bit more to it than that...
Look at it this way...it's not necessarily about what the company is doing, its more about wha they could do. Its also more about how much people believe that they could do it...
Look, 80/share is way too high for Apple even with the wildest of expectations. Simple reason; you just dont get that many #1 hits in a lifetime. Dont get me wrong, I consume just about everything apple sells, but its just not enough for an 80/share price. We're all living on speculation and hype right now that apple will:
1. Cut waaaay into the home user market - No one cares too much about this long term, and this will likely drive costs up around apple as a whole. especially when you consider support costs. Think about the rediculous situation we had a while back with people SUING Apple over sticking their ipod nano's in their pockets which was full of dust and debris which then scratched their screen...That was a very expensive hit on apple. Welcome to the new world of customer support
2. Create another new market for video distribution - This is quite likely what is causing the majority of the stock speculation. But it is by no means a done deal. The players are worse than the RIAA, and satisfying customers is a lot more difficult here. You cant get away with selling people low-quality versions of videos through itunes. People want the highest quality available for watching videos at home first, and they will also take other versions, but realistically, these lower quality versions should be free if I have already purchased a DVD...ah, but that would be ILLEGAL...welcome to the new world of copyright protection in video...it sucks...big time
3. Step into the ITPro server market - Sun + Apple = success? Dont bet on it. There is more work to be done here than anyone could realistically begin to estimate. You have two very different companies with extremely different visions of computing. Bringing these two worlds together will be painful and it take a long time before they could even consider competiting with areas such as email, storage, etc. ... however, there are also some quick wins that could keep a merger like this on life-support for a long, long time.
All of these (and more) are reasons to want to buy stock in apple at 80, but I would be cautious...the split is coming with a likely short-term dip in stock price...if they split and come down to the low 30's... there would be a mad rush to buy their stock again, especially if they can keep the reality distortion field going at full strength and announce at least 2 more ground-breaking products...and Im NOT talking about iWeb
Come on...where is Front-Row 2!!!!
