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Apple's Stock Reaches its Highest Price Ever

adamjackson said:
Are we still all on this "Fire Tim Cook" brigade? I thought he was the worst CEO Apple has ever had according to MR commenters.
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Sure are.

To those sitting in the back of the Titanic, that ship looked pretty good for a while even after they hit the iceberg. Just because you're not at the bottom of the ocean doesn't mean you're not sinking. Corporations are like ocean liners and they change course slowly. Tim Cook is an excellent operations manager. In fact, I doubt you'll find someone more capable. His background is reflected in the way he's running Apple. But he's not a visionary and he seems to be driving the company forward while squarely looking in the rear view mirror rather than focusing on what's ahead.

Apple has become stagnated. There is no question about it. Rising stock is a good indicator of present (perceived) value and is based on short term results. I would absolutely expect Apple to have a great quarter given the trouble Samsung had recently. Apple will likely decline long-term. Then again - they have more money on hand than the U.S. Treasury. They will have plenty of time and resources to take corrective action in the future.
 
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guzhogi said:
Of course, Carl Icahn will say it's totally undervalued. I swear, that guy would still say it's undervalued if it went on to BRK-A prices (currently 250,100).
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1. A stock's selling price has zero relevance to whether the stock itself is over or under priced. Marketcap relative to prospective earnings + current captial + current debt does that. A stock's price is just marketcap divided by outstanding shares and using only that metric it is not comparable in the same way the price of a regular size Snickers is to Hershey's bar.

So the more shares issues the lower the selling price of each but the marketcap remains the same. AAPL's selling price has no relevance to BRK-A. If you read the full article Apple's market cap is actually bigger than Berkshire by nearly $300b.

2. Icahn sold his shares last year so he must not have thought they were that undervalued.
 
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guzhogi said:
Wish I had bought in at $0.53 (adjusted) in 1980…
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Looking back, I should have bought some the day the iTunes Music Store opened (2003-04-28). It closed at 99 cents (adjusted).

Before that, Microsoft and Yahoo would have been a better investment, especially if you sold around Dec-1999.

There have been other events that I wish I had recognized as a bellweather, like the day the first iPhone went on sale (2007-06-29) and people were lined up outside stores to buy them. It closed at $17.43 (adjusted).
 
t0mat0 said:
Making the share buyback a bit more expensive - Above Avalon has them buying back >10% with a feasible hypothetical move to get another 40% back in the next few years.
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An increase in price will eventually make them reconsider the stock buy back. However their revenue and cash holdings suggests they can support a larger dividend. Now, theoretically that is less advantageous from a tax perspective. But that theory is based on the credit a company gets from the market for buying back its shares. I'm not sure they can keep justifying just sweeping up billions of dollars in shares every month if the price of the stock keeps going up.

I think we will have a tax amnesty this year that allows Apple and other U.S. companies to bring cash back into the U.S. at no or at least lower taxes. Then Apple will need to do something with that cash and I strongly suspect it will be the "mother of all dividends". Think $50 billion paid in dividends in one payment or something like that. And remember, if the projections are to be believed, there is a lot more cash coming when they release iPhone 8.
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iMi said:
Sure are.

To those sitting in the back of the Titanic, that ship looked pretty good for a while even after they hit the iceberg. Just because you're not at the bottom of the ocean doesn't mean you're not sinking. Corporations are like ocean liners and they change course slowly. Tim Cook is an excellent operations manager. In fact, I doubt you'll find someone more capable. His background is reflected in the way he's running Apple. But he's not a visionary and he seems to be driving the company forward while squarely looking in the rear view mirror rather than focusing on what's ahead.

Apple has become stagnated. There is no question about it. Rising stock is a good indicator of present (perceived) value and is based on short term results. I would absolutely expect Apple to have a great quarter given the trouble Samsung had recently. Apple will likely decline long-term. Then again - they have more money on hand than the U.S. Treasury. They will have plenty of time and resources to take corrective action in the future.
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In the last few years Apple has taken over the smartwatch industry (which is likely going to eat the watch industry) and they are in the process of taking over the headphone industry. Those are two pretty big bits of successful and monetized innovation. I think sometimes you guys just don't see the innovation even when it is in front of you. Or maybe you think Apple should be able to out innovate all the other companies of the world combined. Anything less than that is failure.
 
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alfonsog said:
Stock is high because they've been lazy... it costs a lot to develop new products and support them. Or in reality... Tim Cook actually knows what he's doing. Growth has slowed some but is consistent. They will become the first Trillion dollar company and it isn't a bubble. New products create bubbles...
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Try reality. Cook has brought Apple to heights Jobs never did. He may not be a salesman, but he knows how to manage a 43 Billion dollar company. New products create diversity and Apple has grown with the expansion.
 
keysofanxiety said:
And remind me: which of those companies had an in-house chip design with double the performance of the nearest competitor? Mapping services, cloud services, their own OS, and industry standard creative applications?

If most of the posters here had an ounce of vision to look beyond the odd spinning drive still sold in a Mac and a few belated product refreshes, they'd see just how impressive a company Apple are.
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It's a situation where a company takes too much advantage of their position as being an impressive, innovative, appealing company and begins to slowly suffer for it. Apple is overcharging for their products and even if you don't want to admit it, any reasonable person which I assume you are knows it.
 
Waiting for the "Apple sucks but I still begrudgingly keep using their products even though I could just switch to PC and use Windows but I won't because I like Apple, actually no, I don't really know, Apple is doomed, Samsung will kill the iPhone, Final Cut used to be great, no headphone jack on my Mac Mini yet Apple stocks are high, Tim Cook should stop talking politics and make me a new Mac Pro which I won't buy anyway because Apple sucks even though I'd love one and I'm still not switching to PC, Steve would never have allowed (insert_______here) and if I parked my Mercedes in the disabled spot would that make me a tech exec also or should I just buy a Pixel phone because Apple sucks and doesn't innovate anymore, look a squirrel..."
 
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iMi said:
Sure are.

To those sitting in the back of the Titanic, that ship looked pretty good for a while even after they hit the iceberg. Just because you're not at the bottom of the ocean doesn't mean you're not sinking. Corporations are like ocean liners and they change course slowly. Tim Cook is an excellent operations manager. In fact, I doubt you'll find someone more capable. His background is reflected in the way he's running Apple. But he's not a visionary and he seems to be driving the company forward while squarely looking in the rear view mirror rather than focusing on what's ahead.

Apple has become stagnated. There is no question about it. Rising stock is a good indicator of present (perceived) value and is based on short term results. I would absolutely expect Apple to have a great quarter given the trouble Samsung had recently. Apple will likely decline long-term. Then again - they have more money on hand than the U.S. Treasury. They will have plenty of time and resources to take corrective action in the future.
Click to expand...
It didn't take the Titanic SIX YEARS to reach the iceberg! Tim Cook has been CEO since 2011. After Steve Jobs resigned as CEO and became chairman of the board, Cook was named Chief Executive Officer of Apple Inc. on August 24, 2011. Forbes contributor Robin Ferracone wrote in September 2011: "Jobs and Cook proceeded to forge a strong partnership, and rescued the company from its death spiral, which took it from $11 billion in revenue in 1995 down to less than $6 billion in 1998. Under their leadership, the company went from its nadir to a remarkable $100 billion today". In April 2012, Time included Cook on its annual "100 Most Influential People in the World" list. And here in 2017 Apple's market capitalization is $700 billion.
If Apple was a nation, it would rank 19th richest in nominal Gross Domestic Product, just behind Turkey and just ahead of Switzerland.
 
It never ceases to be a constant source of wonderment to me how Apple shares consistently keep rising despite a declining output of products and innovation. Any other company would have worried shareholders jumping ship in readiness. Yet Apple continue to buck the trend. And reverse the usual pattern of stagnation. Strange.
 
Stick a fork in the Mac, folks. My prediction is this positive reinforcement from investors in Apple being strictly a cell phone company will lead them to formally discontinue desktop products before the end of 2018.
 
jigzaw said:
Stick a fork in the Mac, folks. My prediction is this positive reinforcement from investors in Apple being strictly a cell phone company will lead them to formally discontinue desktop products before the end of 2018.
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But what about all the stuff in the goshdarned pipeline, man!!!!!!!!
 
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