Why I’m seriously thinking of buying Apple stock

“I’m not an Apple fanboy. I don’t like the ‘closed world’ of Apple’s technology, and I’ve never bought one of its products,” Jon Wallis writes for The Motley Fool.

MacDailyNews Take: Poor bastage.

“But not liking a company’s products is not necessarily a good reason not to buy the shares,” Wallis writes. “I’m not wild about Coke, but I’d be very happy (and rather wealthier) if I’d bought Coca-Cola shares when Warren Buffett did.”

“I didn’t buy Apple shares at the end of the ’90s because I didn’t think much about the company at all. At worst it seemed washed up — at best it made niche products for trendy people and graphic designers,” Wallis writes. “As the share began its upward trend under Steve Jobs, it always seemed that it just couldn’t continue, and so I resisted buying. As Apple’s price climbed and climbed, my resistance to buying grew with it, because surely it couldn’t go any higher. But it did, and I should be kicking myself.”

Wallis writes, “I reckon it’s fallen too far for a company of this quality and growth record, and too far for a company with nearly $140 billion — almost a third of its market cap — in the bank. Irrational negativity about the company has taken hold and the sell-off has been too big. At its current price, Apple is on forward P/E of under 9. That’s just wrong. And that’s why I’m seriously thinking of buying Apple.”

Read more in the full article here.

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Apple loses ‘World’s Most Valuable Company’ crown to Exxon Mobil – January 25, 2013
So, what tech company is healthier than Apple? – January 25, 2013
Jim Cramer: Arrogance of Apple’s management is what hurts AAPL shareholders the most – January 25, 2013

20 Comments

    1. If Apple took just 1/4 of the $137 BILLION and bought AAPL here at $444. When it turns to $610 a year from now, the $34.25 billion would add another $12.8 billion in the bank. Isn’t that about what Apple’s quarterly profit is? That would turn 2013 onto a 5 quarter year!

      Come on boys and girls on the board MAN UP!

      1. What a maroon.

        That’s not how stock buybacks work.

        Stock buybacks are the refuge of failing companies. (And the wish of chicken shit investors.) I can’t remember if MS had one recently, but I wouldn’t be surprised if they announce one any day now.

  1. AAPL’s Market Cap is $419 billion and Apple’s last filed Total Asset is HALF that at $196 billion.

    Anyone see a problem yet? Think anyone can use Apple to buy Apple soon? Break up and sell what you don’t want and keep the rest.

    Tim and the board, anyone awake there? Time to wake up and defend Apple and it’s investors! Try using a BILLION DOLLARS a day buy back at 10:30 every day!

  2. While I think Jon and the “Fools” are full of $hit 99% of the time. Not to mentioned he just showed all his cards as a “freetard” android fan and MS clown. I have almost always found that doing the exact opposite to what they write has paid very well. By his own admission, he has a poor track record as it comes to several high returning stock.
    With that being said, and not because what he has written, I am aquiring more AAPL as type this because of the reasons he spoke to.
    Rest assured, Jon won’t pull the trigger and buy because his is a “fool” and can stand to invest in Apple or any other company that he has a sick moral issue with. Jon needs to look in the mirror and examine his own moral compass and learn that business is business and invest in fundamentals and keep emotion out of it. Jon, I dare you to pull the trigger but I can rest assured you won’t. That OK, I am and I will be richer for it. Haha

  3. Got out a $703.00 getting back in at $390.00. Next week should be fun… I love their products but I love money more !!
    Thats where wall street screwed up, its not about the numbers its about lemmings riding it into the ground.

  4. Good for him for THINKING about buying Apple stock. The stock market is at an all-time high. Amazon, Netflix, Google, Priceline, and Intuitive Surgical shareholders are popping champagne corks and dancing in the streets. Only one company’s shareholders are walking around dazed and disappointed and that’s Apple’s shareholders. I’m not exactly sure why he would want to throw away his money, but if that makes him happy, well, that’s just fine. Seriously, Apple is not showing any bottom and it’s certainly going down to $400, so he just might want to RE-THINK his position. Buying Apple now doesn’t make much sense unless you just want to play a long-shot. There’s too much money to be made everywhere else except Apple.

  5. “Why I’m seriously thinking of buying Apple stock”
    Why really?
    May be because you want to make other people to buy , and you to sell? Yes, there was no one izombie selling from $700 to $450. We know who made the good money from this balloon, telling every day that it’s time to buy.LOL

  6. Not liking a company’s products is a GREAT reason NOT to buy it’s stock. Just like liking a company’s products is a GREAT reason TO buy their stock. Why would you invest in a company if you think they sell crappy products? Of course if you’ve never bought a company’s products, then you really don’t know one way or the other. I’ve invested in Apple because I like their products and believe they will continue to produce great products into the future.

  7. Buy now. The irrational buying frenzy ended, so will the irrational selling frenzy. The dopes listening to all the unsubstantiated negative hype will be the ones that will make others a ton of money over the long haul. The P/E ratio is at a point so low that it’s absurd.

    1. That’s right. Buy low. Sell high. It’s a “” rel=”nofollow”>Well… DUH!” sorta thing.

      One doesn’t have to buy at exactly the lowest point nor sell at the highest point to make scads more money than a savings account at your credit union.

      One of the hardest things to master in stock trading is jettisoning the emotional baggage that often accompanies stock trading. People often hold onto a stock too long when they find they’ve goofed and “bought high” just before a public-whimsy balloon has burst. The purely logical Vulcan in us would wisely sell after the stock has gone down ten percent rather than what very many amateur traders do: holding on and on and on to a tanking stock until half its value has been lost. If you one gets out quick and minimizes their losses, you still have 90 percent of your original capital to use when the next killer deal comes along. And speaking of killer deals…

      “52-week low” means there is a buying opportunity right now.

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