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Apple's Stock Continues Surge With New Record High
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Probably not.
>98% of the Apple rumors here (and elsewhere) end up being false, so there's definitely no positive correlation in regard to Apple's increased valuation over the years and any given rumor.
Basically, you should treat tech media sites as science fiction short story repositories, rather than a crystal ball or oracle on what Apple's future holds. You know, "intended for entertainment purposes only."
>98% of the Apple rumors here (and elsewhere) end up being false, so there's definitely no positive correlation in regard to Apple's increased valuation over the years and any given rumor.
Basically, you should treat tech media sites as science fiction short story repositories, rather than a crystal ball or oracle on what Apple's future holds. You know, "intended for entertainment purposes only."
Not really, because there's no method, foolproof or otherwise, of measuring over or under-pricing. What you should be doing as an investor is trying to understand what a company is likely to do in the future and whether they will grow their earnings. Buying and selling should be based on your investment goals. If you can't do that, then you should probably be in index funds. In fact most people, the vast majority, should be using that investment vehicle anyway. Individual stocks are a minefield. To do really well you need to get lucky.
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Pretty much, yes, it is. Every canned investment strategy has a downside. As I said above, most investors should steer clear of owning individual stocks. It is basic human nature that people will almost always do the wrong thing at the wrong time.
You're not supposed to get it.
We're talking about the stock market. It's a highly irrational gambling sport. Take one look at Amazon's 295 P/E or LinkedIn Corporation's 890 P/E and you'll walk away shaking your head. Wall Street believes that LinkedIn will earn that much money in the future and Apple won't with a 14.5 P/E. I'd swear it's absolutely impossible for LinkedIn to be worth that much. Go figure.The only investors that have a handle on things are the hedge fund managers. They don't sit back and watch. They make things happen. Apple may be considered overvalued and will probably never reach $750, but I bought most of my shares when the stock was around $80 in 2004, so I've basically made more than I ever thought I would and I have no regrets. Now I can at least just sit back and receive an unexpected dividend every quarter which to me is wonderful.
You're not supposed to get it.
The only investors that have a handle on things are the hedge fund managers. They don't sit back and watch. They make things happen. Apple may be considered overvalued and will probably never reach $750, but I bought most of my shares when the stock was around $80 in 2004, so I've basically made more than I ever thought I would and I have no regrets. Now I can at least just sit back and receive an unexpected dividend every quarter which to me is wonderful.
What you are really talking about here is the difference between investors and traders. As individuals, investors have a chance, but as traders they are begging to be road kill. You bought into AAPL in a period when the PE was very high, not stratospheric by the standards of AMZN or some others today, but with the big valuation warning light flashing. That did not stop you and I'm not saying it should have, only that whacked out PEs don't necessarily mean that a stock is overvalued. It should be taken as a sign that investors are expecting earnings growth rates to accelerate. You have to decide if that's right or wrong.
You realize I hope that the difference between the current price for AAPL and $750 is only 15%. The question should be whether Apple can increase earnings by at least that much in, say, the next 12-18 months. If the answer is yes, then the answer to the question of whether it can reach $750 in that timeframe is obvious. I'm not predicting anything, only pointing out that these are the numbers that need to be considered.
Higher simply because of dividend reinvesting?
Some good info being shared here. Is it possible most people simply reinvested their appl divdend and that has driven the share price up?
-iamthinking
Some good info being shared here. Is it possible most people simply reinvested their appl divdend and that has driven the share price up?
-iamthinking
Some day I will wake up and say to myself "Boy I sure am glad I didn't buy Apple Stock after all." Today is still not that day.
They will likely sell 50 million smart phones in the September quarter, so it should be all good
. If they do that, $750 will be a distant memory in short order. The run-up now is the buy before the release. The stock should break 750 after next quarters earnings come out. Expect January or February.
The only investors that have a handle on things are the hedge fund managers. They don't sit back and watch. They make things happen. Apple may be considered overvalued and will probably never reach $750, but I bought most of my shares when the stock was around $80 in 2004, so I've basically made more than I ever thought I would and I have no regrets. Now I can at least just sit back and receive an unexpected dividend every quarter which to me is wonderful.
Note you've made nothing except that dividend unless you sell the stock. Lots of RIM investors stuck with RIM through the years of huge stock gains and then eventual stock losses. If you were around for the entire ride, you made nothing. Unless there are dividends being given out (and those dividends get cashed out) and stockholder makes nothing until they get off the ride.
Well, nothing except the fun of seeing that big balance in your portfolio.
I think initially they hadn't planned the iPhone5 would be released in the next quarter. Now the concensus is that it will be announced on Sept 12 and released before the end of the month, so the iPhone5 launch day sales will be reported with the next quarter numbers.
They will likely sell 50 million smart phones in the September quarter, so it should be all good
Making specific stock price predictions is either brave or foolhardy, maybe both. I wouldn't say this scenario is impossible by any means, but from hard experience I know better than to predict (and have the scars to prove it). FWIW, the current 12 month consensus price is $719.
Nice Run
About 10 years ago I bought $5K worth of Apple stock at about $20/share. This after 10 years of almost zero % returns in the hands of Merrill Lynch who put me in a bunch of non performing "mutual funds". I thought...@#$ this I am going to invest in companies I believe in and dump the "experts" who brought me almost nothing with their watered down funds. If I had bought only $5K more of AAPL I'd already be retired. Still....very happy and the glass is more than half full!!! The main lesson here is...take control of your own investments and don't rely on other people who put your money where it makes THEM the most money!!!
About 10 years ago I bought $5K worth of Apple stock at about $20/share. This after 10 years of almost zero % returns in the hands of Merrill Lynch who put me in a bunch of non performing "mutual funds". I thought...@#$ this I am going to invest in companies I believe in and dump the "experts" who brought me almost nothing with their watered down funds. If I had bought only $5K more of AAPL I'd already be retired. Still....very happy and the glass is more than half full!!! The main lesson here is...take control of your own investments and don't rely on other people who put your money where it makes THEM the most money!!!
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Anybody know when the best time to buy stock in? I've just started a new career and would like to learn more about investing.
Read up on the efficient market hypothesis. Then investment cost average by buying small portions of stock at random times. Roll dice to figure out what days. Really! Evidence is that a random number generator "knows" the better times to by stock more often than most amateur investors, maybe most pros as well.
Value investing works for Buffet and a few others. Most other amateur investors pick the wrong set of "values" to do any better than random dart throwers.
True story. Amatuer investors are far better off buying an unmanaged index fund, such as a S&P 500 fund. It isn't going to be exicting but you can do well over time if you keep adding and don't try to time the markets.
Buffet is doing more than value investing because he can buy controlling interests in entire companies.
I do, or at least did.
I would have made more money shorting FB over the past two months than going long on AAPL.
Same with Zynga and Groupon.
Animal spirits just thrive the stock price higher and higher, until one quarter Apple won't meet its targets and won't come up with a new killer product and then you're in trouble.
It was always going to shoot up this week - after all, I sold a large chunk of my shares last week. So you can thank me.
No regrets though as I sold my shares to pay for my honeymoon and I still have the same value of shares left as I did when I bought them just under a year ago. Thanks Apple!
Congrats
On your honeymoon, I mean.