Analyst: iPhone 5, dividend payout will keep investors buying Apple

“Apple (AAPL) is testing April highs today on news that the soon-to-be-released next generation iPhone is driving down prices of the iPhone 4S at several national retailers. Investors, however, have not been scared off by the high share price and are buying in anyway, so Breakout welcomed Brian Sozzi, chief equities analyst at NBG Productions, and asked if there is anything that will frighten them out of the stock,” Kevin Chupka reports for Yahoo Finance’s Breakout. “‘I can see a world where you can just continue to buy the stock,’ says Sozzi, ‘because you got that dividend check. You’re gonna want to go buy more Apple in front of key product launches. The stock could just continue to go higher.'”

Chupka reports, “‘I can see a world where you can just continue to buy the stock,’ says Sozzi, ‘because you got that dividend check. You’re gonna want to go buy more Apple in front of key product launches. The stock could just continue to go higher.'”

Read more in the full article here.

8 Comments

    1. Except that the stock market isn’t like playing horseshoes. Being close might just as well be a mile. All it will take is a well-timed rumor like “iPhone component shortages” or “delayed iPhone release date” will drive the share price down $20 in a day. Sure, Apple could continue to go higher or on the other hand, head in the opposite direction.

      1. Well yeah, it can’t go up forever. Buy low sell high. When it goes down that’s generally a buying opportunity. When it goes up that’s generally a time to sell. You can buy and hold forever if you like but someday it’ll drop and you won’t be able to get out of it. Trust me, it happens to all companies. There are no exceptions. When you buy and hold your profit is purely a paper profit. Try spending that paper profit sometime. You only make money when you sell an equity. Those who brag that they have held Apple forever may be crying in their beer someday. Holding a stock is nothing to brag about. You’re not in it to brag. You’re in it to make money. Except for dividends, you only make money when you sell. And if you plan carefully you can reap the rewards of dividends and still get in and out of the stock. But look into options. Options are a much safer,cheaper way to buy AAPL. But whatever you do, buy something now because it’s going to go on a run up. and you don’t want to be left out in the cold.

  1. Read the article… “That dividend of $2.65 a share will be paid out this Thursday after the closing bell. Sozzi says that number is only going to grow as the tech giant will continue to increase the shareholder payout every year to entice investors as their growth potentially slows. “If they’re not going out there and acquiring companies — which they’re not, necessarily — their earnings growth will slow and you’re gonna need a hook.””

    What a putz. Anal…..yst that use numbers that work for food stores, discount stores, etc just do not understand Apple and therefor, their numbers are just a crap shoot.

    Sheeeezzzzzeeee.

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