The 3rd dangerous sign about Apple’s stock

“Back in March when Apple’s stock was heading for new all-time highs, I did write about a dangerous sign for the stock, namely a wave of robust forecasts that called for the stock to reach $800, $900, or even $1000—some of these calls were made here at Forbes.com,” Panos Mourdoukoutas writes for Forbes.

“In July, after Apple missed on earnings expectations, I did write about another dangerous sign: A wave of justifications of the miss that re-assured investors that Apple’s fundamentals are intact, and that the stock will head north soon–after the iPhone 5 release,” Mourdoukoutas writes. “Now, with the iPhone 5 release around the corner and the stock trading near all-time highs, the buzz is about Apples contribution to the US GDP. Such buzz isn’t healthy for the stock. It focuses on the noise, not the message.”

Read more in the full article here.

MacDailyNews Take: Mourdoukoutas is Greek for “ghoulishly misconstrue.”

37 Comments

    1. On another note, the current all-time highs are only the result of a correction for 12 months of linear growth (all of 2011), rather than the usual exponential growth of 55%/year. That’s how stock needs to behave. The April peak was just overshoot after the (correcting) rally. Since June we’re back to the exponential curve as it should have been all along. In 2011 AAPL was being held down artificially by speculation, FUD, SJ’s illness, etc. But in the mean time, operationally, the company has continued to perform without any hickups.

  1. Apple BEAT their own forecast I can’t believe that Wall Street keeps hanging on to what they call a miss – I guess they can make up any number and then say the company missed – They all suck..

      1. So then you’re predicting what, a 4-1 split? Anything else is downright silly, so that’s the only thing that makes sense. Apple simply makes too much money to fall to that price. Forget everything else, there’s no way there not going to keep raking in the profits for the foreseeable future. It’s the simplest stock in the world.

  2. I’m confused about why this is a bad thing. Seems like constant long term growth along with regular short dips in value (buying opportunities) more make it a perfect stock. I’ll freely admit I don’t know anything about stocks, except what I’ve heard in that “Buy low, sell high” Schoolhouse Rock song

  3. These stories always show up right after the hedge funds short AAPL, which always occurs following a sharp SP run-up. About the time the hedges cover and go long these stories are replaced by positive ones.

  4. The headline for at LEAST one iPhone 5 story tomorrow will read “Too Little Too Late” That, I can guarantee.

    Unless there is some hardware feature we don’t know about, it will be a big Wall St. letdown.
    They waited too long to go big and now everyone has a year headstart on Apple to correct the situation. No doubt Apple will have a bigger option next year to complement the 4 incher.
    But I think I was a genius move to small on the iPad. The ipad mini will not only cannibalize the larger iPad, it will also cannibalize the iPhone. The ipad mini is going to be a success beyond Apples imagination.

    1. The ipad mini is going to be a success beyond Apples imagination.

      You just lost your credibility. The iPad was ALREADY the record setting success beyond Apple’s imagination.

      No one has yet found the ~7″ WhateverPad market to be lucrative. Apple would only experience the same, just as Steve Jobs clearly, succinctly and definitively pointed out. Watch and learn…

      1. Steve jobs was against 7″ tablets, then how come apple is going to introduce iPad mini against Steve’s will??? Maybe after Samsung’s successful 7″ tablets, now apple wants to copy them.

        Now tell me who is copying? Samsung or apple???

        1. Steve Jobs was against many things including: (but not limited to)

          1. Making iPods compatable with Windows.

          2. Making iTunes run on Windows.

          3. 3rd party apps on the iPhone.

          You should read Walter Isaacson’s book.

        2. You know nothing Apple. You FUD everything Apple. As I expected from a previous thread: You’re paid by Samsung. You’re an anonymous coward pretending to be someone other than a Samsung hire. You’re a liar. You’re a waste. You’re merely a troll for hire.

          Oh, and please do feed me, your anti-troll.

  5. When some people on Wall Street start calling for Apple to reach $700 and beyond get ready for a collapse. The hedge funds are just trying to get suckers into Apple in order to do a massive sell-off that has nothing to do with how much revenue Apple is making. It’s just going to be another P/E compression in the making, likely knocking it back under 15. It really annoys me how Amazon’s P/E keeps growing by bounds but Apple’s keeps sinking as time goes on. Apple will add another $8 or so billion extra in reserve cash and the share price will barely move this quarter.

  6. WREAKING BS

    In July, after Apple missed on earnings expectations…

    NO IT DIDN’T! Apple beat their own earnings expectations. Check it out:

    As MDN has published: “On April 24, 2012, Apple CFO Peter Oppenheimer provided Q312 guidance of “revenue of about $34 billion” and “diluted earnings per share of about $8.68.” ”

    The results were a revenue of $35 billion at $9.32 per diluted share! So get bent Panos Mourdoukoutas who writes for Forbes.

    What ‘missed’ were the over-inflated/ignorant Wallstreet ANALyst expectations. Therefore, FIRE THE ANALYSTS! Blaming Apple is idiotic, deceptive and unprofessional. Offensive DUH Factor.

    I sense the stink of stock manipulation in the air, again, right on schedule, the day before Apple’s next product announcements. So obvious.

    the buzz is about Apples contribution to the US GDP. Such buzz isn’t healthy for the stock. It focuses on the noise, not the message.

    NO. Such ‘buzz’ is mere party jabber before dinner is served.

    The actual “noise” is ANALyst FUD frippery such as this BS article by Panos Mourdoukoutas who writes for Forbes.

    Apparently Forbes is part of the current Apple stock manipulation system. Forbe’s Apple articles over the past two months have been almost universal ignorant FUD. Either that, or Forbes is experiencing an extended August Effect. Either way, their reputation has been splattered with their own excrement.

    Tip: Look elsewhere for sane stock analysis.

  7. I also disagree with this person’s aburd conclusions about AAPL, but I also thinks it is small mindeness bordering on bigotry to include someone’s presumed ethnicity in disagreeing with them.

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