“Apple has a little gift coming that we won’t be privy to see until well after the holiday quarter has ended — that gift is going to be margins,” Quoth the Raven rites for Seeking Alpha.
“Despite what sensationalistic headlines come out with regard to competition from Samsung and Microsoft, most Apple bulls don’t really even see these two companies as a threat; simply due to the panache that Apple products seem to carry with them. They are often categorized as the ‘luxury’ technology brand,” QTR writes. “for Apple, where the margins are closely scrutinized, we could start to see a bit of a sea change in the Q4 quarter, as the [iPad] Air gets its first real chance to make an impact in Apple’s financials.”
QTR writes, “I’m bullish on Apple long term still, as I believe they’re likely to have yet another impressive holiday quarter. But, I predict the margins could be the catalyst that’s going to give the stock a major upward push to start the new year.”
Read more in the full article here.
Helping with that is the iPone 5C. If it sells about as many as the 5 would have if retained, the lower production costs will be reflected in increased margins. If it sells more or drives people to the 5S, even better. Tim knows what he is doing.
They say a truly great idea is 1% inspiration and 99% perspiration. Tim is the epitome of dogged perspiration. He’s also given much less credit for his inspiration since supply chains and production aren’t seen by the end customer.
Long time AAPL investor here. LONG TIME. Relatively large position therein (7 figures), and I genuinely LOVE Apple, Inc.
That said, I truly wish a Christmas gift were coming to all of us patient, loyal shareholders. I truly do. But, I believe at this point IT IS NOT ON ITS WAY. AAPL is dead money walking right now, folks, and that breaks my heart. (Witness today’s pullback.)
AMZN, PCLN, GOOG, et al., are bursting at their seams, even when one of them makes no money at all! This market is inexplicable when it comes to AAPL. Absolutely inexplicable.
If it weren’t for its fairly sizable dividend, holding our favorite equity would be stupidity on stilts. Would that it were not so.
You already ARE getting a Christmas gift. Over $3/share EACH QUARTER in dividends.
Since you’ve been an investor for a LONG time, you ALREADY have a HUUUUUGE increase in your share price.
Which is why he isn’t selling.
And for new investors, there isn’t really anything for AAPL to conquer, hence the dismal P/E. Apple already has the largest market cap. They already have among the highest cash amount. And the revenue and profits are already near the top out there. From Wall Street’s perspective, AAPL simply has nowhere to grow.
Rapid stock growth happens when Wall Street expects significant (logarithmic) growth rates. This worked through the 2011, until the stock hit largest market cap in the world, and rapidly grew iPhone user base. With maturation of developed world market space, and purchasing limits of the developing world markets, the 250% annual growth rates (for iPhone / iPad, or any other product line, for that matter) are long history. Therefore, Wall Street simply doesn’t care anymore.
No way! Best gift for Apple fans is if Microsloth saw the error of their ways and begged Ballmer to stay. His job is not finished yet, he could accomplish so much more in our favor.
The only better gift would be if Samedung picked Ballmer up and crowned him as their new CEO. Then he could work his Monkey Magic on them for awhile—then watch our favorite stock soar!
Nice to dream anyway!