Apple's Stock Price Projected to Keep Rising on 'iPhone 8' Optimism

[Fall Under Cerulean Kites]

Do you call customers returning lg oled tv due to burn in a great thing? I posted the link multiple times, but to me this does not bode well.

What you may be mistakingly calling “burn in” is likely actually “temporary image retention.” However, unless one sits and games for 8 hours straight on an OLED TV, this is unlikely to be an issue. (Certainly a potential use scenario, just not one for me.) This scenario is even less likely on a phone.

I’ve had zero TIR or BI issues with my LG OLED (2016), my OLED Apple Watch, or my 10+ yr old Plasma.

Maybe I’m just “lucky.” Or maybe it’s just not a problem.

 

[IJ Reilly]

Next stops:

$142.86 ----> $1000 a share pre-split (this figure was very much ridiculed here on MR back in the days, now we're 2% shy of it)

$190.30 ----> at this level, Apple will become the first trillion dollars company in history for market cap.

Despite the recent run the stock is still severely undervalued at P/E <17 versus an industry average of 25. Microsoft has a P/E of 30.

<nostradamus mode>

During the next months, the stock will skyrocket, only to crash in a typical "sell the news" setup after or just before the iPhone introduction.

Those who will not panic will be greatly rewarded next year.

</nostradsmus mode>

I guess I have to point this out once again: "Pre-split" AAPL is valued at nearly $8,000, since the last split wasn't the first split for the stock, it was the fourth. It's a silly number to cite anyway, and the older the company, the sillier it becomes.

As for valuation. Stocks are always accurately valued by the markets at any given moment, unless you think you know something the rest of the market does not. Which, if you are going to be least bit honest, you have to admit that you do not.

 

[citysnaps]

I can see Cook having another Apple Watch moment when he announces the price... or when Schiller does..

and so the iPhone 8 starts with 32GB RAM available in all these countries, the 32GB is $1199 and the 128GB is $1299....

Then comes that awkward silence moment when the audience goes quiet just like the $12000 Apple Watch announcement.

Of course stocks will rise anyway, that's Cooks aim and what he does.

.

And Apple will still sell 200+ million iPhones for the year (and even more the following year). Because it will be a phone a lot of people want to own.

 

[IJ Reilly]

So the stock is rising on silly "super cycle" nonsense and then will come crashing down again when sell side analysts start worrying about "tough comps" and the successor to iPhone 8 (or whatever they call it) being just an "S" release. Rinse and repeat every few years.

To the extent these product cycles create tidal waves of earnings followed by troughs, these changes in earnings expectations are to be expected. The only way for Apple to avoid them is to sell a broader base of products that drive earnings through the inevitable slack periods for the flagship.

 

[2IS]

This iPhone is the biggest update since the original iPhone in 2007. Honestly they could have just updated to OLED and left it there as that in itself is a huge upgrade

Same design after a 3rd generation with the only difference being OLED sounds like the exact opposite of huge.

 

[djcerla]

I guess I have to point this out once again: "Pre-split" AAPL is valued at nearly $8,000, since the last split wasn't the first split for the stock, it was the fourth. It's a silly number to cite anyway, and the older the company, the sillier it becomes.

As for valuation. Stocks are always accurately valued by the markets at any given moment, unless you think you know something the rest of the market does not. Which, if you are going to be least bit honest, you have to admit that you do not.

Nobody refers to pre-split Apple as the first split. It's clearly referred to the last 7:1 split.

And thanks for the good laugh about stocks always accurately valued by the market (see: dot com bubble)

 

[Tycho24]

I can see Cook having another Apple Watch moment when he announces the price... or when Schiller does..

and so the iPhone 8 starts with 32GB RAM available in all these countries, the 32GB is $1199 and the 128GB is $1299....

Then comes that awkward silence moment when the audience goes quiet just like the $12000 Apple Watch announcement.

Of course stocks will rise anyway, that's Cooks aim and what he does.

Wow!
32gb RAM! That would be QUITE the upgrade over the 2gb in the iPhone 7 & the 4gb in flagship Android phones... shoot, that's double what you can get in a MacBook Pro!

Jk! Obviously a typo/brain fart on your part, but in all seriousness:
I expect the new iPhone to be available with 64gb storage @ $849, or 256gb @ $999.

 

[macs4nw]

.....There just isn't money in the PC business anymore. Tim Cook is following the money and the shareholders will be happy.

I think it would be kind of stupid and suicidal not to!

It's hard to deny though that this change of business model DakotaGuy was referring to, is a somewhat radical departure from the earlier years, i.e.

Steve: make the best possible products regardless of obstacles and set the trends, after which the money will follow, or
Tim: maximize profits by following trends and giving people what they want, while paying lip service to lower performing product lines and let them languish by allocating more R&D $$ to the top sellers.

While that admittedly may a bit of an over-simplification, it just seems to be more about profits than bleeding-edge innovation lately. A lull in the development cycle perhaps?

I question however whether Apple can still come up with the kind of market-disruptive product categories that have propelled them to the top, and which are so crucial to stay there. I secretly wish to be blown away once more!

 

[santaliqueur]

Half a trillion dollars company unable and unwilling to update its mac mini and mac pro for years.

Much closer to ¾ trillion. 732 billion as of current price.
[doublepost=1488906430][/doublepost]

Stock is not what matters. People and nations matter.

Except if you're running a business, which Apple is. The only thing that matters is profits. It's why businesses exist.

 

[Armandodj]

The stocks goes high, and the iPhone 8 will be more expensive too!

 

[StyxMaker]

I can see Cook having another Apple Watch moment when he announces the price... or when Schiller does..

and so the iPhone 8 starts with 32GB RAM available in all these countries, the 32GB is $1199 and the 128GB is $1299....

Then comes that awkward silence moment when the audience goes quiet just like the $12000 Apple Watch announcement.

Of course stocks will rise anyway, that's Cooks aim and what he does.

The four Apple Watches I've purchased over the last two years don't add up to your $12000 price.

 

[darcyf]

If that's what's driving the stock price up then expect it to drop dramatically after the release when everyone realizes it's still just an iPhone.

That's not some pro-Android sort of snide remark. I love my 5s. But if ten years later the best Apple can come up with is ANOTHER iPhone -- oh look it does three new things! -- then, well, that's not a whole lot to bet a company on.

 

[9081094]

This is why Apple doesn't care about the Mac business these days. There just isn't money in the PC business anymore. Tim Cook is following the money and the shareholders will be happy.

It beats me why Apple isn't buying all its shares back and go private. This way they won't feel pressure from shareholders who don't care about customer experiences except profits... oh wait or is that Cook...

 

[69650]

They don't make any money, so why would they?

The Mac does make money. Mac users also buy iPhones. Kill the Mac and iPhones sales will fall.

 

[MH01]

That's where it stopped, imo. The rest were evolutionary.
[doublepost=1488897765][/doublepost]
That's all well and good but that's not what this is about. (And who determines what's best, market share, units sold, profits? Since I bought one I believe it is best)

iPhone 4 had the best hardware / software at the time . I suggest you do some research on the iPhone 4 and it competitors at the time.

You are the one that's brought up amazing functions interdicted , so what is this about? The legacy that is iPhone 1.....some of us don't live in the past

 

[shurcooL]

Am I the only one who fully expects iPhone 7S to be next, followed by iPhone 8 in 2018?

They've just released iPhone 7 last year. It was iPhone 3G, 3GS, 4, 4S, 5, 5S, 6, 6S before that. It's it most likely that 7S is next after 7?

 

[IJ Reilly]

Nobody refers to pre-split Apple as the first split. It's clearly referred to the last 7:1 split.

And thanks for the good laugh about stocks always accurately valued by the market (see: dot com bubble)

Laugh all you like, but it is true nonetheless. You are in possession of no information about the future that the rest of the market does not have, so your statement about a stock being undervalued is nothing more educated than a guess. Your argument that because stocks go up and down they aren't being valued accurately by the market is contrary to the entire purpose and function of the market and ignores the reasons why they go up and down. I'm not laughing because I am always sorry to hear how many people don't get the basic principle of the thing.

And yes, market neophytes do like to refer to Apple's last split as the only one that matters. Anybody who's been at it for awhile won't talk about the split that way because it's fundamentally meaningless.

 

[TallManNY]

When someone like detroitborg is able review all iPhone 7 Plus models in different colors, in addition to the standard iPhone 7 model, trust me, this won't be a problem for tech journos.

Many journalists get review items, but they have to give them back. Also many take advantage of Apple's generous return policy. You can easily do an unboxing and review within a 14-day window. But they have to buy their own daily driver. You can trust me that a $1,000 iPhone is a significant fraction of the typical journalist's yearly after-tax income.

 

[I7guy]

iPhone 4 had the best hardware / software at the time . I suggest you do some research on the iPhone 4 and it competitors at the time.

You are the one that's brought up amazing functions interdicted , so what is this about? The legacy that is iPhone 1.....some of us don't live in the past

This still doesn't address the point of overall accomplishments over time.
[doublepost=1488921196][/doublepost]

What you may be mistakingly calling “burn in” is likely actually “temporary image retention.” However, unless one sits and games for 8 hours straight on an OLED TV, this is unlikely to be an issue. (Certainly a potential use scenario, just not one for me.) This scenario is even less likely on a phone.

I’ve had zero TIR or BI issues with my LG OLED (2016), my OLED Apple Watch, or my 10+ yr old Plasma.

Maybe I’m just “lucky.” Or maybe it’s just not a problem.

Or maybe you are lucky and it is a problem, time will tell.

 

[apolloa]

.

And Apple will still sell 200+ million iPhones for the year (and even more the following year). Because it will be a phone a lot of people want to own.

We'll see, I doubt if they charge over a grand for it plus, that it will sell as well as the iPhone Plus did. It doesn't have the new Chinese market to fall on these days to boost its sales figures. And I can't imagine many in India spending that much on a mobile phone.. the pricing of it will make it or break it.

The four Apple Watches I've purchased over the last two years don't add up to your $12000 price.

And? What's your point?

https://www.macrumors.com/2015/03/09/apple-watch-edition-pricing-10000/

 

[Larry-K]

I am unaware of those, but this half-trillion was customer buy-in into a catalogue they expected to be kept on track.

Oh, you must mean "Apple Computer", yeah, they're dead.

Now it's "Apple, take a hike legacy users, we only care about iPhones, fat margins and share prices".

 

[Bacillus]

Oh, you must mean "Apple Computer", yeah, they're dead.
Now it's "Apple, take a hike legacy users, we only care about iPhones, fat margins and share prices".

...where they put cpu's in any iPhone and are retro enough to find out you can also use those in a computer that could be called a Mac - now that the guy that fased that out forgot to kill that name in his inifinite halfbaken turdom.
Spend the money thrown into the AppleCar that is already dead, and you have a second IBM.

 

[Constable Odo]

I truly hate when the analysts and the news media start getting ahead of themselves when it comes to Apple. Let's have some moderation. Apple news always seems to swing to extremes.
[doublepost=1488926329][/doublepost]

Half a trillion dollars company unable and unwilling to update its mac mini and mac pro for years.

They're surely able but definitely unwilling. Even the last MacMini Apple made was crippled and totally closed with no quad-core i7 model. Apple could certainly follow HPs Elite Slice desktop as an example of how to build a mini-desktop. I honestly don't understand Apple's motives for making their computers non-upgradeable in terms of memory and hard-drives except to grab a high initial price from customers.

 

[santaliqueur]

It beats me why Apple isn't buying all its shares back and go private. This way they won't feel pressure from shareholders who don't care about customer experiences except profits... oh wait or is that Cook...

While Apple's cash on hand is currently about $240 billion, they can't afford to buy all the outstanding shares, at $730 billion. I'm certainly no expert, but they might only need to obtain 51% of the company to gain full control, but I'm not sure that's something Apple is looking to do. They are currently making an incredible amount of money, so perhaps they don't want to shake things up too much.

 

[MH01]

This still doesn't address the point of overall accomplishments over time.

Not really. I'd rather have the kind of functionality updates that Apple is famous for than a new screen technology that isn't mature.

So quoting you, you would rather have the famous apple functionality in 2017 rather than immature oled tech....though now you are twisting it that it's nothing to do with OLED goes back to 2007......

Which is is mate, cause you are moving the goal posts all over place. Or what amazing 2007 functionality is sooooo superior to OLED?

Do tell