“What would you say if I told you about a company that had increased quarterly sales by 33% and earnings by 38%, while widening its profit margin, reducing its share count through buybacks and building up a record cash hoard of over $200 billion?” Philip Van Doorn asks for MarketWatch. “And what would you say if that same company’s stock was trading for 14.4 times analysts’ 2015 earnings estimates, less than the S&P 500 Index’s 17.9?”
“The company is Apple Inc.,” Van Doorn writes. “The maker of the iPhone published results after the market closed Tuesday, and investors sent its stock down as much as 8% in extended trading. In pre-market trading Wednesday, the shares were down 7%.”
“Still, Apple pretty much hit a home run,” Van Doorn writes. “The company is in the lead for best sales-per-share growth among the 78 S&P 500 member companies that have reported results this earnings season… Though Apple’s stock is depressed, it is nonetheless an incredible bargain.”
Read more in the full article here.
MacDailyNews Take: The stock market is a game. You either understand the “rules” and play it well, and get paid, or it’s better to sit on the sidelines and watch it for entertainment.
Drudge screams: ‘APPLE FUTURE QUESTIONED’ – July 21, 2015
Apple poised for $50 billion valuation loss after posting ‘disappointing’ record earnings – July 21, 2015
Apple shares plunge after ‘disappointing’ record third quarter results – July 21, 2015
MacDailyNews presents live notes from Apple’s Q315 Conference Call – July 21, 2015
Apple pulverizes the Street with record third quarter results – July 21, 2015
Folks kinda forgot that Apple sold 47+million iPhones in a summer quarter that precedes the annual September iPhone _s release quarter. That is amazing, as I know I easily can wait a few months to get the iPhones 6s, yet the sales of last years iPhone are extraordinary, considering everybody on the planet knows that in September, a spec upgraded iPhone is coming.
To me that is huge…I wonder do any analysts have any common sense to realize that also?
Started reading Neil Cybart’s blog. He is an ex stock anal…yst turned blogger. Also he is slowly turning Apple fan.
When I asked him why these wall street anal…yst keep saying things that are so totally stupid, he said, You have to understand that these guys get paid to write stuff that makes their customers buy and sell. They are like paid to write articles for used car salesman.
Nuff Said! 🙁
People said the same thing in September 2012. Then the stock dropped for a year. Learn from your mistakes.
the stock market is a RIGGED game. you were never invited to play. if you choose to play, it’s at your own risk. if you happen to make a few bucks, rest assured that there is someone out there working diligently to make sure it never happens again. and also to get back your meager winnings to boot>
and they were wrong again in their preachings, and who are suffering?
Said as someone who doesn’t want anyone getting into the game and messing up his rhythm or something.
The market is fun to watch, as long as you realize the “analysts” are no more competent than regular news reporters, even though they throw around numbers a lot more.
I’m in for the long haul with aapl so am willing to ride out the dips in price. That is until I begin to sense that Apple is losing its market. Clearly it is still kicking ass in all areas.
What saddens me about the stock market is that almost of retirement money is now invested in it. I have a say in how I invest in my rollover IRA but have few choices in my Fidelity IRA for my current job.
Only now is Apple a buy but yet Google, Amazon and Netflix always remain a buy. Everyone is always saying Apple is cheap but that must be some sort of lie. If Apple was really cheap, then investors would be buying it. Instead, Netflix, Amazon and Google appear to be the really cheap stocks because those are the stocks being bought. Apple is cheap and it remains cheap because almost no one wants to buy it.
Look at all those other stocks institutional ownership. All are much higher than Apple’s. Those investors must know something. I’m sure they all perceive that Apple has no growth left. Either that or they don’t like Tim Cook’s attitude of telling investors, “If you don’t like how Apple is being run then take a hike.” I don’t think many CEO’s ever tell investors things like that. Well, Steve Jobs would but I don’t think most other CEO’s would say something like that.
I can’t wait for an overseas cash repatriation tax holiday to take place. Maybe Apple will finally be worth it’s full value at that time. Meanwhile Google is making Apple shareholders look completely stupid. That company is making nowhere near what Apple is making in revenue and profits and it’s worth nearly as much as Apple is in market cap.
Googles market cap isn’t anywhere near apple. It is 65% of Apples today and 60% prior to Apple losing 60B over night.
Google’s P/E ratio is 33.81 while Apple is 14.3. And Google doesn’t offer a dividend.
Anything over 20 is often considered an overvalued stock.
It isn’t Google that is making Apple shareholders look completely stupid, It is Google shareholders and the stock market that determine the price of Google stock.
Apple Q&A session timeline info for investors to busy to listen to the whole CC—-
The entire CC lasted from 2:00-3:00 pm 07/21/2015- Listen to the last 30 minutes to get the “gravitas” of what Tim Cook was saying about important issues—–!!!!!!!!!
:33:24- Munster/TC Apple Watch numbers extrapolation clarifications
:44:50- TC many, many years left in the iPhone cycle!!!
:48:56- TC excellent commentary on China sales, store openings, 4g build out, middle class expansion, and China stock market’s LIMITED effects
:53:30- Luca commentary on the FX issues affecting Apple earnings bottom line like all other international companies affected by the strong dollar……
Apple’s iPhone 6 clearly drove Google’s 11-13% year over year increase in ad and Website revenue, which saw growth in the mobile sector, so I knew that AAPL would get punished upon earnings, because down is up, and up is down, day is night and black is white.
Which do you prefer, an AAPL 33% increase YOY in sales or a GOOGL 11% YOY increase? Wait let me sweeten the pot for you… last year GOOGL had a 22% YOY increase and this year it is only 11%, so for people who love slowing growth trends, GOOGL is def. the stock for you, because AAPL sales are too high and it is growing too fast.