“The market’s downturn has plagued the economy. Good stocks now look bad and bad stocks are either bankrupt, bought, or receiving government support. The economic crisis, though, is hopefully coming to an end. With many experts saying that the market is near its bottom, this presents a perfect time to buy. No one can say the exact date of bottoming out, but no one has a crystal ball and stock values are still undervalued, even if not at their lowest points,” Matthew Shannon writes for Seeking Alpha.
“The value investors should be excited about the current market with stock prices well below their book values. Many stocks within the technology sector fit the bill of being severely undervalued. With the technology sector being one sector that rallies quicker from a recession than most other industries, this industry holds stocks that will rebound to their appropriate price on the market,” Shannon writes.
“One stock within the industry that can see the light at the end of the downturn is Apple (AAPL). Apple is severely undervalued at its current price,” Shannon writes.
“Apple’s success comes from its loyal customer base. Most customers that have bought Macs do not switch to PCs, but more and more PC customers make the switch to Macs,” Shannon writes. “The growing strength of the iPhone now being sold at Wal-Mart will also help to strengthen already strong iPhone sales… Don’t forget about R&D and Apple’s great pipeline.”
Full article here.