“I’m not changing my stance on Apple [AAPL],” Cody Willard writes for MarketWatch.
“I’m holding onto a large common stock position with huge gains that I’ve owned for years and I’m sitting on losses from the recent call options I’d scaled into,” Willard writes. “I do expect that Apple can and will deliver nearly $60 in earnings this year, and I expect that the market will pay 10X those earnings, plus net cash, which would put the stock up near $750 or $800. And I still expect that we’ll see a $1,000 price in AAPL sometime in 2014 or 2015.”
Willard writes, “I think the retail shareholders and mindless long money managers just got complacent with AAPL and that we’re still shaking the people who bought AAPL in 2012 out and that could take a while longer. The multiple will be supported by the cash, the yield and the giant earnings that will continue for the next few quarters, so I still think it goes higher eventually.”
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