Yes, I wish someone would explain this bizarre phenomenon. Netflix until recently also had a ridiculous P/E. Yet Apple's is down in the low-growth-potential P/E category like Microsoft and Dell.
Got a tip for us?
Let us know
Become a MacRumors Supporter for $50/year with no ads, ability to filter front page stories, and private forums.
Apple Records Q4 2011 Earnings of $6.6B on $28.3B in Revenue, Tops $100 Billion in Sales for Fiscal 2011
- Thread starter MacRumors
- Start date
- Sort by reaction score
Yes, I wish someone would explain this bizarre phenomenon. Netflix until recently also had a ridiculous P/E. Yet Apple's is down in the low-growth-potential P/E category like Microsoft and Dell.
if it stayed at the same res, it wouldn't effect apps at all. and the screen would be too big for human hands? maybe fo midget women. ngl, i am a tall man, but the 3.5'' screen is almost too small for my hands.
It doesn't really matter. Apple exceeds expectations, the stock falls. Apple falls short of expectations, the stock falls. The stock always seems to fall after good news. It's just part of the roller coaster ride of owning AAPL. Something my stomach has gotten used to over the years.
Another thing I've learned over the years: sellers of AAPL are ultimately always wrong.
it's quite common, selling the news.
Dude, whenever you buy something, you are settling. Some people settle for Android if they want a larger screen bad enough. Hell, all Android users settle for well, Android. Would some like a larger screen? Of course. I would but I don't see it as settling if I don't get one. Would some like phones in colors? Of course.
You are so hung up on tech specs whereas most aren't. The 4S is solid hardware wise. Look at Android OEMs. All they do is push new specs out every two months yet they still don't offer the user experience that iOS gives you nor have the loyalty that Apple has earned from their users.
Yes, I wish someone would explain this bizarre phenomenon. Netflix until recently also had a ridiculous P/E. Yet Apple's is down in the low-growth-potential P/E category like Microsoft and Dell.
Just curious - what makes someone say that Amazon is Wall Street's darling? Apple is, after all, the most valuable company in the world, and is recommended as a buy by the VAST majority of analysts.
Do people just get upset when their favorite stock goes down? Sorry folks, analysts don't make that happen. Sellers of the stock do, or the lack of buyers. And like it or not, the market was a little let-down by Apple's quarter. Not because it was a bad quarter, but because it was worse than the average expectation of market participants. If you don't think it should have gone down, well, then pull out your wallet and buy like crazy.
People who don't understand finance do a lot of whining. If you're truly convinced that the market is wrong and you are right about the value of a stock, you should be OVERJOYED, because that provides a rare opportunity to take advantage of a mispriced stock. But just whining about it? Bah.
People say it is Wall Street's darling because the Price of Amazon's stock is over 100 times it's earnings. Apple stock is sitting around 15x earnings. That generally (ok not really, but this is conventional wisdom) means people think Amazon is expected to have much higher earnings growth. This has never been true in the past five years.
Keep in mind, despite the headlines from financial news organizations licking their wounds, Apple continues to experience explosive growth on every front. The CNBC headline says "miss big", they actually beat their own guidance from the last call. Apple warned iPhone sales would be down, but the analysts ignored that. I think they got tired of missing low so they aimed high. I wonder if they know that does not actually make them look any smarter.
Analysts beat the hell out of the amateur analysts this quarter.
Apple is the highest valued company in the world. IT IS WALL STREET'S DARLING.
2/3 of them were wrong.
And so are you. You need to learn something about Price-Earnings Ratios (P/E). Apple is very undervalued (relative to Amazon). You are focused on one thing that does not mean much. Discussing "value" without an understanding of P/E ratios is meaningless.
They were, to a man, righter than the much ballyhooed "amateur experts" that get so much love. I guess we won't hear much crowing from Andy Zaky this quarter, huh?
Hey, I own Apple stock, and I'm glad it's undervalued (since that means it will go up in the future, duh). But that's not because it's not THE darling of wall street. It's because investors like you and me don't buy enough, or sell too much.
Guess what - once it becomes properly valued, the SMART investor sells. Because proper valuation means far less upside than vastly undervalued does.
Will you be a smart investor and sell when it reaches fair value? Or will you be a fan and celebrate your gains all the way back until they are losses like investors in Dell did after Dell reached its inflection point 10 years ago?
The analysts in both camps were way off, just like they always are. Only the very conservative ones were even close to right. Keep in mind, if as CNBC says, .25 is a "Big Miss" than only 2 or 3 analysts did not miss "big".
I agree, it is a good buy and I would much rather own an undervalued stock than an overvalued stock. I will continue to hold on to a piece of Amazon since this seems like a really bad time to get rid of it and they have never not been way overvalued.
Financial headlines are always absurd. Their sole purpose is to make the analysts at whatever publication it is look smart and shift the blame for them being wrong to the company.
This is an intriguing thought and it had crossed my mind as well. I remember there was a rumor floating around last year before the MBA refresh in oct 2010 that apple had a working MBA prototype running on A4. It makes a lot of sense since apple has proven that the mass consumer cares less about tech specs than experience. And if there isn't a noticeable drop in power but a significantly increased battery life and lighter weight (15 hr, 2 lb MBA??), this would be a good trade off. Also from a manufacturing and IP standpoint, I could see how this would be very appealing to apple.
My guess is we may see an ARM powered MBA come out in 2013. I think 2012 will be pretty crowded with at least iPad 3 and iPhone 5. I also think an Apple TV (screen, not box) is very possible depending on the progress and success of Siri.
My $0.02...I think Apple's long term vision is a 3-screen strategy. iPhone for most mobility, least power; iPad/MBA less mobility,more power; iTV (?) for least mobility, most power. By "power" I mean more capability with apps, info access, etc. And no, it doesn't mean apple will ditch iMacs, Mac Pros, or even MacBook Pros. Just that they will be more marginal products for power users (business, creative professionals). The average consumer doesn't need or use full blown photoshop, CAD, or Final cut pro. And if you don't use these types of power hungry applications (yes, I realize there are other reasons), there's no need to own those (pricier) Apple products.
Last edited:
I think it is an interesting idea. Some people see it as the end of the world, but I think there is some potential. There are a truck load of technological and marketing hurdles they would have to leap over to get there.
You haven't actually demonstrated that people are choosing iOS over other options rather than liking the whole package. You've pointed to anecdotes that some people would prefer x, but from the *same source*(!) it can be shown that some people prefer y. Probably in equivalent numbers. All in all, without even pseudo-scientific testing we can only tell that a large portion of smartphone users like the iphone package.
I don't look to tech site members for a reflection of the market (unless they are me or those who analyze like me.)
I look to:
A) Sales figures and share (and the reasons for them, because it's easy to flood the market with a lot of junk running an OS licensed out to everyone and their dog)
B) Satisfaction reports (which usually clears up questions about sales figures and share.)
Those are all that matter. The rest is ephemeral.
You need to look at a much bigger picture (haha) than just screen size alone. There are many complaints about battery life on 4.5" LTE phones as well. Also portability. What people really want is a larger screen size that doesn't compromise on weight, portability, and battery life. Apple obviously decided they couldn't make acceptable compromises at this time. You argue this all you like, but the sales numbers suggest that other people don't find it to be as much of a problem as you. If bigger screen size were always better, people would only buy 17" notebooks. You haven't presented a good objective argument for why a 4.5" phone screen is the superior choice for everyone. Or even just the average consumer.
And anyways, im puzzled why you would complain about it at all? If you think iOS and the sub 4" screen is so bad, then simply get a 4.5" phone. That's the beauty of consumer choice. Does apple's choice not to make one hinder you in any way? It sounds like you wouldn't buy one from apple even if they DID make one.
Last edited:
28.3 billion in revenue looks very impressive to me...
They just had best September Quarter ever.
Apple sold 4 million iPhone 4S in 3 days. They will roll out on more countries and they are projecting that their Revenue will be 37 billion dollars. That's F crazy. Usually, apple gives lower number on their guidance and beat that number easily. So, apple can go for like 40 billion dollars in revenue next quarter.
That's darn impressive.
WSJ analysts do not know what they are doing. They just threw some crazy numbers on apple. They were so disappointed on apple iPhone 4s. Apple stock took hit and came right back after 2-3 days. After record sales, analysts cheer on their iPhone 4s reviews.
These analysts are change their minds so fast and they always miss.
They just had best September Quarter ever.
Apple sold 4 million iPhone 4S in 3 days. They will roll out on more countries and they are projecting that their Revenue will be 37 billion dollars. That's F crazy. Usually, apple gives lower number on their guidance and beat that number easily. So, apple can go for like 40 billion dollars in revenue next quarter.
That's darn impressive.
WSJ analysts do not know what they are doing. They just threw some crazy numbers on apple. They were so disappointed on apple iPhone 4s. Apple stock took hit and came right back after 2-3 days. After record sales, analysts cheer on their iPhone 4s reviews.
These analysts are change their minds so fast and they always miss.
Your observation is right, but I think it goes deeper. The whole conversation is a LOT more chatty than before. Whereas previously they would hold their cards very close to the vest - and would simply decline any speculations. Now they are chatting and predicting a lot of things.
Don't know if I like it. Especially since a lot seems to be idle chit-chat: ' In China the sky is the limit ' - yeah!
This is really no different from Windows 8/Metro. The future of computing is convergence.April 2011 it was reported that Apple is combining OSX and iOS. OSX 10.7 could be the last OSX.
Apple have already killed off Xserver, Xraid and Xsan = server and corporate market.
The feature of computing is tablet devices. Just hook it up to your cinema display + bluetooth mouse/keyboard. Headless macs will be like the AppleTV. This will start to happen 2012.
Apple computer does not exist anymore. Apple inc is here
This is what I think.
The iPad is in a market of it's own. No real competitors. Fact.
But . . . .
The Amazon Fire and all the others look like real competitors to the iPod Touch.
Fire - $199 8GB
Touch - $199 8GB
So if you have a cool $200 to spend, what would you get? A small Touch or a bigger screen Fire? Sure there is iOS, but people light say the Fire's bigger screen is worth more to them then iOS.
I think Apple needs to worry about these tablets in terms of killing Touch sales.
The iPad is in a market of it's own. No real competitors. Fact.
But . . . .
The Amazon Fire and all the others look like real competitors to the iPod Touch.
Fire - $199 8GB
Touch - $199 8GB
So if you have a cool $200 to spend, what would you get? A small Touch or a bigger screen Fire? Sure there is iOS, but people light say the Fire's bigger screen is worth more to them then iOS.
I think Apple needs to worry about these tablets in terms of killing Touch sales.
Yes. Apple often points out that it's the one with the most sales in the category.