Being debt free is hard for any company but to be debt free AND 18 Billion up in hard, cold, cash is amazing. That is GREAT financial management.
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Steve Jobs Reassures Employees and Investors
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1. Buy Apple stock. Apple are you listening?
2. When your stock is up X%, sell 2 x X% each month until you are at apogee or hold till next upswing.
Patient investor, impatient seller.
Rocketman
In said apogee and I am Rocketman
2. When your stock is up X%, sell 2 x X% each month until you are at apogee or hold till next upswing.
Patient investor, impatient seller.
Rocketman
In said apogee and I am Rocketman
Apple is seen by most investors as a short term stock. Drastic changes in the stock price tend to parallel Keynote events. The stock goes way up beforehand due to unrealistic expectations, then usually drops significantly during and after the keynote.
Also, many investors see Apple as a one trick pony: The iPod. And now that we're starting to reach a saturation point in the portable music player market, many investors are jumping ship.
Apple so far has failed to convince investors that they have another cash cow like the iPod up their sleeves.
Keep in mind that the stock market moves based on rumor and innuendo. The investors may very well be wrong on many of their theories. But it is what it is.
Also, many investors see Apple as a one trick pony: The iPod. And now that we're starting to reach a saturation point in the portable music player market, many investors are jumping ship.
Apple so far has failed to convince investors that they have another cash cow like the iPod up their sleeves.
Keep in mind that the stock market moves based on rumor and innuendo. The investors may very well be wrong on many of their theories. But it is what it is.
Agreed. The MBA, whilst an engineering marvel, is so niche that the rest of us non-business travelers are scratching our collective heads and asking "so, what's next?"
I think the market was/is ready for something fresh. Something new.
A device that redefines what we know as "a laptop," much in the way the iPhone revolutionized the mobile phone. And simply put: the MBA is not that device (and not intended to be that device).
I know it is beating a dead horse here, but I do think the market is ready for/wanting a hybrid iPhone/MacBook. Something larger than an iPhone but smaller than a traditional laptop. I am thinking more tablet/slate than just a sub notebook. So long, clam shell. Hello tablet.
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Now until Netflix plays nice and finally allows their streams to work on Macs, this stat is moot. Saying they offer a service is one thing. Actually supporting that service, is a complete different thing altogether.
Sure, Mac compatibility is said to arrive later in the year. But for now, moot for Mac/Netflix users (like myself).
Stock markets are wonky.
"Stock price has little to do with actual performance."
Sure is true lately. The share price of my stock holdings dropped dropped from 260 to 150 over two days. That's in kroner, Norwegian kroner, on the Oslo stockmarket, for a company that makes solar cells (ticker REC.OL) (www.RECgroup.com).
What do they have to do with mortgage backed securities? Nothing!
Is the price of oil 1/2 what is was 2 weeks ago? No!
Did anything happen at the company to explain this! No!
Did the market for their product stop growing at 20% a year? No!
Are they denominated in USD? No!
Were they caught up in the thundering herd of nitwit "analysts" in full psycho headless chicken panic? BING BING BING! He have a winner!
In the long term, the markets make sense, even the stock market. In the short term, psycho headless chickens (now with improved computerized panic power!) is the best description I've ever heard.
"Stock price has little to do with actual performance."
Sure is true lately. The share price of my stock holdings dropped dropped from 260 to 150 over two days. That's in kroner, Norwegian kroner, on the Oslo stockmarket, for a company that makes solar cells (ticker REC.OL) (www.RECgroup.com).
What do they have to do with mortgage backed securities? Nothing!
Is the price of oil 1/2 what is was 2 weeks ago? No!
Did anything happen at the company to explain this! No!
Did the market for their product stop growing at 20% a year? No!
Are they denominated in USD? No!
Were they caught up in the thundering herd of nitwit "analysts" in full psycho headless chicken panic? BING BING BING! He have a winner!
In the long term, the markets make sense, even the stock market. In the short term, psycho headless chickens (now with improved computerized panic power!) is the best description I've ever heard.
Where are 10.5.2 and AppleTV updates? Give me that and I will buy 5 shares
Stop watching so much TV. Get a hobby.
If I were one of those investors, I'd be screaming for some of this cash. There is no reason why Apple should be sitting on so much cash while throwing 99 cent dividends at folks who actually own the company. But what do I know
I admit that I don't know a whole lot about the stock market and the economy.
However, we can't look at Apple's falling stock and say that it's cause they are doing poorly. The entire US economy is doing poorly and as a result the stocks are falling.
Damn recession
However, we can't look at Apple's falling stock and say that it's cause they are doing poorly. The entire US economy is doing poorly and as a result the stocks are falling.
Damn recession
If I were one of those investors, I'd be screaming for some of this cash. There is no reason why Apple should be sitting on so much cash while throwing 99 cent dividends at folks who actually own the company. But what do I know
There is no dividend for the stock. They stopped that years ago.
confused
No company is perfect for sure.
But, i just don't understand a downturn from 190 to 130, when there have been so many financial and branding successes over the past few years.
It must just be a tech downturn in general.
No company is perfect for sure.
But, i just don't understand a downturn from 190 to 130, when there have been so many financial and branding successes over the past few years.
It must just be a tech downturn in general.
I have both a checking and savings account with Wachovia, but I have no idea if they do stocks like Bank of America. I'll have to look into it. Thanks.
Wachovia does. My stocker who was once with prudential is now under them as Wachovia. Even without that all Wachovia branches have a financial adviser who can purchase stocks for you.
I AM one of those investors, and I'm sorely tempted to get on a plane and SCREAM for some of that cash at the next shareholder's meeting. Apple right now is doing ZILCH to restore investor confidence (this email is a laugh and certainly doesn't do anything concrete). They need to do one of the following:
- Announce a dividend
- Announce a buyback plan
- Announce plans to purchase a company or two
If they just insist on sitting on that mountain of cash, people are going to have legitimate questions about what Apple plans to do for the next few years. You want to restore investor confidence? Do SOMETHING that investors can be comfortable with! Do something that shows Apple is making bold moves in their existing market or moving into new ones! Sitting around and waiting for marketshare growth is not showing enough aggression.
If it splits then the price is more likely to attract smaller buyers. Doing that makes the stock a bit more stable yes, but it makes it less susceptible to the swings of the big players. These last couple of days have proved that. With the big guys (traders) dumping their shares the smaller investor has seen a greater percentage impact then the stock warrants.
I'm completely with you, with a preference for a buyback plan. Their stock has way outperformed just about anything else they could have their cash in. $18 Billion is an absurd amount of cash to sit on, it's actually a drag on their stock value.
I think the main problem with AAPL from an investment standpoint is that we are certainly in a down time in our economy and at down times Luxury type products usually don't do well. Not that Apple is all luxury products, but as far as computer companies go it is certainly more toward that luxury end of the spectrum. The MBA didn't help either- that is really moving in the luxury direction. At a time when people are likely to be pinching pennies the MBA is not the right "thing".
Stock split is a terrible idea. That just adds more shares to the float. If you look at the stocks like Microsoft, Intel, Oracle, eBay, Yahoo, Dell, etc that split and split, now they can't get out of their way. Apple has about 875 million shares outstanding. All those others have billions...that is why the stock doesn't move anymore. Hard to move it with so many shares outstanding. Google has moved nicely also because it doesn't believe in splitting shares, along with great earnings growth.
If a person can't understand that $1,000 invested is $1,000 invested no matter if the stock is $130 or $50, then I hope they don't invest in Apple.
If a person can't understand that $1,000 invested is $1,000 invested no matter if the stock is $130 or $50, then I hope they don't invest in Apple.
Yes. It is because of stupid analysts and their unrealistic expectations even in spite of amazing performance and the recession of the economy especially in the tech sector which is also worsened by the analysts.
Hi, I'm an analyst... Let me get some put options on AAPL and tomorrow I will talk trash about it to make myself a fortune and then buy more shares once I make them go down by the power of my words and blame it on a "recession". Then make the shares I just bought go back up the next day when I reassure everyone and reset my target and make myself more money...
Don't even get me started!
Well put! People always compare Apple's to Microsoft's--wow Apple's is so much higher!! They don't understand stock split.
I hear what you're saying, but at the same time, I don't think Apple really plans to sell very many MBAs, and those that they do sell will go to people who can afford it, economic downturn or no. As for the rest of their products, Apple has always been an "affordable" luxury brand. Sure, a Mac or an iPod might cost a little more than the cheapest competitor, but it's not thousands of dollars more, it's only a little bit more (percentage-wise). People will buy computers and MP3 players and cell phones anyway. They are practically necessities of modern life. So, they'll spend a little bit more and have "the best"...it's not like handbags where a perfectly functional one can be had for $20, but the "best" will cost $15,000 or more.
Funny how many people disregard the basic rule of Wall Street.
Buy Low. Sell High.
Sounds trite, but honestly look at how many people panic and SELL when the stock takes a beating.
Think Different!!!
Buy Low. Sell High.
Sounds trite, but honestly look at how many people panic and SELL when the stock takes a beating.
Think Different!!!