Expert: ‘Apple will be a triple-digit stock in a matter of months’

“Apple is hardly an undiscovered stock, but the company’s business is flat out booming. It reported its third-quarter results last month, and they were spectacular. Quarterly sales increased 32% to $4.84 billion while profits jumped 27% to $0.62 a share! That’s no surprise because iPod players were flying off the shelves. Apple shipped 8.73 million players, 35% more than a year earlier. And as far as I can tell, the iPod product line’s popularity will continue,” Tony Sagami, the owner and founder of Harvest Advisors, writes for Money and Markets.

Sagami writes, “Plus, the iPod’s success allows Apple to cross-sell other services and devices to consumers. For example, Mac computer sales ballooned to 1.61 million last quarter. That’s up 30% from last year and a company record for any three-month business period. And Apple has more tricks up its sleeve, too. The company is supposedly getting ready to enter the cellphone market with its own.”

“Sure, Motorola already has a cellphone that syncs with Apple’s iTunes music store and includes an iPod-like interface for navigating and playing digital music,” Sagami writes. “But Apple is known for its meticulous designs. The company will probably offer a full-fledged personal media device that includes a camera, vivid color monitor, complete iTunes features and integration, as well as a cellular phone. They’ll probably fly off the shelves.”

“One rumor – which I think is more right than wrong – says Apple placed an order for 12 million cellphones from Taiwan-based contract manufacturer Hon Hai Precision for delivery in the first quarter of 2007. That means we might see this new product early next year,” Sagami writes.

Sagami writes, “How might this device affect Apple’s bottom line? One forecast I saw estimated that an iPod phone could add $6 billion in sales and $0.70 a share in profits in 2007. While the numbers could change, an Apple phone could add a mountain of new profits. I think Apple will be a triple-digit stock in a matter of months, and that’s why my Elite Stock Trader subscribers are holding the shares.”

Full article here.

Related article:
Apple shares hit new all-time high – November 20, 2006


  1. This makes me even MORE glad I bought Apple at $15 a while back….I even encouraged my wife to buy it when it was $73….Don’t listen to stockbrokers who tell you to sell it…EVER.
    Not until it’s time to cash out and buy the house in the islands.

  2. I wonder if Michael Dell was smart and bought some Apple stock? Currently Apple’s Market Cap is just a hair shy of 32% more than Dell’s Market Cap — $56 billion (Dell) to $73.86 billion (Apple). The difference is $17.86 billion — almost the market cap of GM at $19.33 billion.

  3. Anybody want to guess a cap? Dion has $300.

    Since I can predict the future (seeing as how I am God after all), I see AAPL at Google-like numbers.

    But, I am not a stock anaylist…I’m just a God.

  4. Apple will never hit $300 per share. It will be split before it even gets close. Back on these discussion boards back in Jan. I said Apple stock would end their year at $100 per share. I was kind of worried back in August, but looks like I might have been right after all. And this isn’t even my job. I was telling people to buy back when it was a split adjusted $8 per share, and I bought when I could at $35, $45, $55, $65 and $75. A little bit each time. I don’t have much, but it is a nice third of what I do have. And it’s up about 40% total. Apple will probably split some time in Feb. or March of 07. And the price will be around $110. I need to go find where I predicted the $100 at the end of this year, I know it was early Jan.

  5. @ Dr Mcr: “is it possible for foreigners to buy AAPL share?”

    Yes, but in the UK at least, you cannot hold them directly – you need to hold them in a nominee account. Best to talk to your bank or broker since the rules vary across countries.

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