“In 2015 Apple grabbed a 94 percent share of the world’s global smartphone profits, sold the only profitable tablets and smartwatch, increased its Mac unit sales, launched a successful NFC payment platform, took a huge slice of the music streaming market and introduced a new platform for the living room,” Daniel Eran Dilger writes for AppleInsider. “How can it possibly beat that performance in 2016?”
“Until Apple actually begins to see flat growth in iPhones, let’s instead look at its competitors, all of which are performing so extremely poorly that their own users are essentially being herded into Apple’s iOS corral, without Apple needing to even do much work on its end,” Dilger writes. “Once that gravy train slows down, then we can talk about the decisions Apple will be forced to make to maintain growth, such as the price slashing and billion dollar ad campaigns that Samsung and Microsoft have infamously tried, without much success.”
“But right now, can we stop the handwringing faux-pity over Apple’s dire problems of making too much money while selling too many phones with the dire result of being challenged to improve upon that performance?” Dilger writes. “Because that’s not a problem, it’s every CEO’s fantasy.”
Tons more in the full article here.
MacDailyNews Take: The sky’s the limit for Apple Inc.!
And how…!
AAPL is down because Wall Street is afflicted with the notion that despite record profits and sales during every quarter of 2015, “it can’t possibly get any better than this. This has the be the peak.”
Quality is AAPL’s biggest issue.
And the challenge of cutting prices while keeping the promise.
Good luck investor.
Curious… Why do you waste your time here?
Good read. Clearly, Analysts are manipulating their valuations to cause churn in AAPL at the behest of their masters.
Hedge Funds are lining up to try and gain on a run up to earnings on 26 January 2016 and if the results are stellar and the forward view for the March 2016 quarter looks solid, the continued run post earnings.
Key points: Apple Inc. now sells the post PC solution set to cater for every need, whether for personal use or in the Enterprise, from wearable through Mobile to PC (Laptop and desktop). Analysts still don’t seem to understand that this breadth of capability is what drives Apple Inc. revenue, profit and ability to ask for top prices for a quality product and experience.
Lest we forget, Apple Inc. with their Ecosystem and Services are also in the early phases of Wearables, Payments, a post TV App solution, Health monitoring and analysis, HomeKit capability & more… (no mention of the potential for an Car)
Traders and tech pundits get hung up on the ‘why doesn’t it work fully out of the box’, when everyone who understand Apple Inc. remembers the famous borrowed quote from Steve Jobs that “we skate to where the puck is going to be, not where it has been”
The really bad thing about owning Apple stock is that it’s down and the company is doing relatively well. What happens if the company actually starts to have problems with sales. Shareholders will be dumping Apple stock like there’s no tomorrow. There’s simply too many other under-performing companies that give back fantastic returns without all the hassle Apple shareholders have to put up with.
What’s really funny is that although Chipotle Mexican Grill is poisoning customers, there’s no cry for firing the CEO. However, there are so many people asking for Tim Cook to be fired because the stock is down. There’s really something unusual about how Apple shareholders think. I think Tim Cook is just the type of person that appears incompetent to practically everyone whether he is or not.
I’m sure it’s going to be hard for Apple to keep growing revenue every year, but that’s how it is when you have a very high market cap. I honestly don’t think that’s a good reason to dump a stock but then again, I’m not a hedge fund manager always looking for double-digit gains. I know people want to get rich quick so I get it, but sometimes you need to look at things realistically.
Amazon is going to leave Apple in the dust when it comes to share gains because Jeff Bezos is smart and aggressive when it comes to growing revenue. Apple doesn’t seem to have that sort of aggressiveness. It appears to be a company willing to coast on its laurels making small improvements instead of large gains. It’s a shame considering all the money the company makes.
When I think of all the useful research Apple could be funding it all seems such a waste. Apple should have a place like Xerox had in its Palo Alto Research Center lab. Apple appears to be sitting on a fortune and simply letting it go to waste.
I don’t see frankly that Jeff Bezos is doing much other than copying Apple and mostly failing at that. Near nothing profiting Amazon is a business Wall Street thinks it understands whereas with Apple not so much unfortunately. If they did we wouldn’t be having this conversation.
Apple’s been spending about 2 billion a quarterly on R&D, btw.
Though Amazon gets a lion’s share of good press and love from the market’s talking heads, curiously quarterly “profit” is so-so. Revenue is high, profit isn’t, but the stock price rises and Jeff gets applause. Puzzling.
Per “funding” in 1998, Jobs told Fortune that “innovation has nothing to do with how many R&D dollars you have.” Apple has long spent proportionately less than other tech companies, but considering Apple’s profit & the functionality and desirability of the products, SJ’s statement stands the test of time.
Don’t get me wrong…I think there’s always room for “more better.”
Apple is sitting on an INVESTED fortune and…
Apple will therefore SURVIVAL all the Apple Bear Bullshit that WallNut Street can sling at it. Apple will be around, being great, long after the parasitic rats of WallNut Street have died of drug overdoses, HIV and dementia.
SMART move Apple! Please do stick around.
http://fortune.com/2016/01/10/apple-clueless-press-commentary/?xid=yahoo_fortune
And wait until Parallels puts out their Android Emulator for iPhone, for the geeks who want to pretend not to use Apple.
Why aren’t there more Dans in the world? Hmm? Tell me.
Is it me or was it 95% that was being quoted in the past.. Did AAPL lose a percentage in 2015?