Apple's Stock Soars Past $1,000 Pre-Split Price as Bulls Think 'Golden Opportunity' to Buy Remains

[Rogifan]

Sigh. The stock is at record highs because Wall Street sell side analysts think this year is going to be another iPhone 6 like year (which they've come up with the stupid "super cycle" name for it). Then next year the stock will drop when the rumors indicate an "s" type upgrade and the sell side analysts get worried about tough comps. Heck the stock will probably drop today because Samsung is announcing their new phone and the tech media is hyping it like crazy.

 

[oftheheavens]

People have been saying this for the last 5 years. Well, the last 10/15 years. People always waiting for it to go down, then snap it up. But the shares over the long term have just gone up and up.

If we bought shares a few years ago when the prices were through the roof and everybody thought it'd plummet, we'd still have made a wicked profit by now.

Apple are going to become infinitely more wealthy in the next 5 years. That much I can guarantee. They've got their fingers in so many pies, with technology that is in its infancy and has so much potential to grow. If anybody's on the fence, I'd just say buy now and hug the stock for the next half-decade.

I had 100ish shares back before the split that I bought at around 110 bucks a share around Nov 08. Apple took a hit in 09 like most companies did and it dropped like 30 bucks a share down to low 80's. My normal rule is to cut my loses if I lose a certain percentage in a small amount of time and it goes the same if I make a certain amount in a short period of time. I didn't follow this rule though and patiently waited for it to climb back up and sold it for 130 a share (give or take a buck). I watched in agony as they split shares by 7 which would have given me 700 shares which are now worth 150 bucks each (more than what I sold for before the split...). I did move that money to a very good investment that helped pay for our house upon returning from Japan (wife and I are Marines) but I kick myself in the butt every time I see how well AAPL is doing without my money invested in it. I missed out on about 100k over 9 years, pretty good return if you ask me and it probably isn't to late to dump some money on AAPL and still make 20-30 bucks a share between now and the end of the fiscal year.

 

[keysofanxiety]

There is no evidence of that. The only Apple prices that fall are for products at the end of their life like the MBA. The MBP will not fall in price over time. Apple knows that as Mac users we don't have any choice but to pay what Apple demands so they will continueto squeeze for every penny they can get away with.

No evidence? History will tell you enough. MacBook Air released, price dropped. rMBP released, price dropped. The same will happen with this once the manufacturing costs reduce over time.

 

[Dan From Canada]

Gee, where is Carl Icahn now who sold all of his Apple shares because he said that they were "undervalued"? LOL

 

[Bryan Bowler]

I’m proud to say that I made a significant investment in AAPL in 2006 and still hold that investment today. It changed my financial future. I’m not saying this in a boastful way. I’m just pleased with Apple’s performance over the last 11 years.

Now from a consumer standpoint, I am not pleased with Apple’s products and services over the last 3 years. They have all sorts of problems that need to be fixed and I really hope Apple can regain their focus on making products that just work and are more cohesive across their product line. Unfortunately, I have seen no indication that this area will get better, but one can hope.

 

[Mtmspa]

The stock I bought at 218 pre split is doing quite well. Almost 5x growth and quarterly dividends.

 

[Constable Odo]

Good for AAPL investors!
It is still a long ways away before it gets to that $1,000,000,000,000. Hell, that is a lot of zeros......

I think these people have no idea what it takes for companies to achieve high market cap values. Obviously, most companies have never had a total market cap of $250B but yet some think it's easy for Apple to simply tack on another $250B to reach that elusive $1T mark. Just a few months back there were people claiming both Amazon and Alphabet would beat Apple to that $1T market cap. I guess it's possible with big investors happily throwing immense P/Es on companies based on vague future performance. Take Microsoft with its P/E of 30 or so. Seriously, how does it earn that P/E when Apple doesn't. Based on fundamentals it definitely doesn't work. Nothing in Microsoft's fundamentals are that much better than Apple's to warrant such a high P/E. I understand Amazon is highly valued for its ability to ruin every other retailer in the U.S. so at least that makes some sense.

I don't know if Apple will reach that $1T mark and I really don't concern myself about it. As long as Apple continues to boost dividends I'll be satisfied. A $1T market cap probably isn't sustainable so I'd rather Apple just reach a sustainable level and stay at that mark for a couple of years.

 

[62tele]

Why do I have a feeling that all we are going to get this fall is an iPhone 7S? It's like the more money Apple makes the less innovative they get.

What? That makes no sense. Is this a troll? Apple is not going to disappoint on the 10th anniversary model and with all of the rumors and speculation of something fantastic. Moreover, Cook knows that innovation and product development is essential to maintain market share and profits.
Please name any computer/electronic/software company that has the total market presence of Apple? It's not Samsung, Microsoft, Dell, HP, et al. They haven't arrived at that point by not being innovative. Some of the innovation may be incremental rather than transformative or groundbreaking but it's occurring nonetheless.

 

[ackmondual]

Entirely predicated on Mobile, which to me means Apple from an investment standpoint, isn't solid.

These numbers certainly fly in the face of what all the MBP owners seem to feel about Apples future.

AFAIK, MBP people just want the MBP that's up to their specifications and requirements. They couldn't care less how well Apple's stocks are doing, how many extra 0s they can add to their value, etc.

 

[DoctorDoctor]

Not bad for a company many considered doomed not so long ago. I wish Apple continued success and look forward to what they bring to market next.
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Why do I have a feeling that all we are going to get this fall is an iPhone 7S? It's like the more money Apple makes the less innovative they get.

You see less innovation because you don't understand what the word means. You have to look past the iOS devices to see what Apple offers. Look at their recent work in the medical field for example. Apple innovates constantly.

 

[djcerla]

Give a monkey a set of buttons to play the stock market and it will perform better than Apple "analysts".

PS not an hyperbole, this has been proven with an experiment.

 

[citysnaps]

There is no evidence of that. The only Apple prices that fall are for products at the end of their life like the MBA. The MBP will not fall in price over time. Apple knows that as Mac users we don't have any choice but to pay what Apple demands so they will continue to squeeze us all for every penny they can get away with.

Not true... The original MBA was priced at $1,799. That was for 2 GB of RAM, a spinning 80 GB hard disk, one USB 2.0 port, and an underpowered CPU.

Five years ago (hardly end of life) I purchased a mid 2012 MBA from Apple for $1,199. Two USB 3.0 ports, 128 GB SSD, SD slot, and a faster CPU. And it still runs great, btw...

 

[IJ Reilly]

Cherry-picking the analysts is a bad idea, because you can always find someone who is saying one thing or another. When you don't cherry-pick, the consensus 12-month for AAPL is still $145.

 

[DotCom2]

They need to increase their dividend significantly to keep the fund managers happy.
January would be a good time.

 

[Rogifan]

Well Samsung announced their new phone and Apple's stock is basically flat. Of course no real surprises in Samsung's announcement. I gotta say though having 5 different ways to unlock your phone seems confusing and a bit of overkill.

Retail pricing of the S8/S8+ starts at $750/$850 which is $100 more than iPhone. Will be curious to see if Apple decides to flirt with $1000 price point or not.

 

[burgman]

I'm sorry but what is this atmospheric market valuation based on?

From an investment standpoint, then the lion's share of your revenue comes from one product line (iPhone), which is part of an overall market (smartphone) which is seeing increased stagnation after 10 years, that's not a position I'd back.

In other words, lots of risk. Especially when as a company, Apple commands less than 5% of the global desktop market, and the tablet market has cooled. Their 'pro' laptops aren't exactly pro these days, and carry mediocre hardware to boot. The Mac Pro hasn't been updated in years. Watch is a niche market, and TV is still at best a hobby to Apple and doesn't seriously compete with products like Roku, Chomecast, Fire stick, etc.

So again, where is this bullish sentiment coming from? I like and use Apple products, but I'm at a loss with this.

Other than just repeating the same "analysis" popular on internet forums why not take a few minutes and actually read the quarterly results. That would answer your "analysis". 5% of the global desktop market is still a 20 to 30 billion dollar revenue, Ipads over 20 billion, other products is 22 billion.. Each one of those as stand alone companies would be on Forbes top 2000 companies by sales in the world.

 

[IJ Reilly]

I don't buy at record highs is all I'm saying although I see Apple as a value stock and longterm hold so it's not too bad. I already have Apple and have benefited but when you start seeing these types of articles, you've missed the boat. Wait for a dip. We're due for a correction anyways.

Good luck with your market timing. Even the pros can't do it, but you can?

 

[npmacuser5]

Yeah the vast majority of noise has largely died down. People were literally saying Apple was done, yet they made a great product anyway.

I'm not a "fan" of the Touchbar, couldn't care less, but the touchID is worth an easy $300-$400.

I would rather use the $300 towards an Apple Watch. The Watch unlocks your Mac without even touching the keyboard. For me, any at desk tasks, use a full size keyboard.

 

[erinsarah]

Back when the iPad 2 came out, on a whim I used what little $$$ remained in an old eTrade account to buy ONE share of AAPL at whatever the $400ish price was at the time. It went through the 7-to-1 split, so I had seven shares all doing quite well. about two months ago, for some crazy reason I sold five of them. Couldn't decide what to do with the cash so I rebought the shares a couple of weeks ago. So while I'm not exactly buying a yacht with this, it's been fun to watch.

 

[v0lume4]

"So I never went back to work for Lieutenant Dan. Though he did take good care of my Bubba Gump money. He got me invested in some kind of fruit company. So then I got a call from him, saying we don't have to worry about money no more. And I said, that's good! One less thing."

 

[Born Again]

well this should appease the haters. Apple is still alive and doing well

 

[IJ Reilly]

A couple of factoids for the few who actually care about this stuff: First, the real current "pre-split" value of an AAPL share is around $8,000, figuring in all the stock splits since the beginning. It's a silly number no matter how you state it, but picking the last split is completely arbitrary, and really makes no point whatsoever. Second, the total market cap for AAPL is still a bit lower today than it was two years ago. Based on the number of shares outstanding then and now, AAPL would have to cross $145.50 to set a record valuation. If you really like to stare at stock tickers then that's the number of interest.

 

[44267547]

This is a telling signal that Apple is now purely an iPhone company.

It's only us Mac users that care but we are a pittance of Apple revenue. Apple isn't going to live or die on Mac so of course its not motivated to update here at any regular pace.

Gee Chupa, what lead you to that assessment. Considering 69% of Apple's net revenue is from the iPhone from an economic stance, even though they manufacture more than just an iPhone. I think it's rather blatant Where Apple is placing emphasis and rightfully so. That's not to say Apple isn't still a computer company.

@Chupa Chupa quotes: "Only us Mac users that care."

"Apple isn't going to live or die on Mac so of course its not motivated to update here at any regular pace"

Shoehorning this comment about "Motivation" provides no proven data at all. This is false and posting Apple isn't motivated shows your short sided appearance towards the Company. I'm not defending Apple entirely here, but don't post comments you have zero intent on proving. Even IF it means Apple has outdated hardware (Which I agree in some respects), but that doesn't display lack of motivation, as it is more where Apple is placing their priorities with the iPhone for obvious reasons.

I'm not saying Mac users can't be frustrated, but don't blunder Apple for the sake of your bitterness.

 

[Chupa Chupa]

This is false and posting Apple isn't motivated shows your short sided appearance towards the Company.

Nope. I'm long in AAPL, very long now after how many splits and years of unending price run ups. Owned it since 2001, never looked back even when it cratered. You'd do good not to make such broad assumptions about people based only on comments you don't like. Just because they make critical comments about Apple doesn't meant they don't like the company. Me: it would be catastrophic to my retirement to wish ill on Apple, but being objecting and critical is not the same as wanting it to fail.

But my overall point is, and I think you seemed to agree before you then disagreed, is that iPhone is what drives Apple and pays the bills. Everything else is ancillary revenue. That is how Wall Street sees it. To the degree that all the higher ups in Apple have significant stakes in AAPL or options, yes, making money and pleasing Wall Street (stock holders) is their foremost concern and that is where they will put the most resources into. That is iPhone.

 

[smallcoffee]

I would rather use the $300 towards an Apple Watch. The Watch unlocks your Mac without even touching the keyboard. For me, any at desk tasks, use a full size keyboard.

Yeah, I don't wear watches and use my MacBook Pro keyboard so it's fine for me.