Apple could offer investors shelter in a recessionary storm

“It couldn’t be a more fitting Groundhog Day,” Barbara Kollmeyer reports for MarketWatch. “Wall Street gave a little cheer at the close on Monday as sagging oil prices, for once, didn’t take stocks down. But the opening setup is looking all too familiar, with stock futures getting duly pounded as oil becomes another sticky mess.”

“Investor nerves aren’t helped by the data flow right now, such as Monday’s downbeat manufacturing update,” Kollmeyer reports. “See why you should worry.”

“Credit Suisse on Tuesday cut its year-end S&P 500 target to 2,050 from 2,150, saying the macro picture is looking “more complicated” and predicted earnings growth will be flat this year,” Kollmeyer reports. “Credit Suisse isn’t the only one concerned about the U.S. economy. In our call of the day, RBC Capital talks about recession and offers a list of stocks to get through it. Spoiler alert: The analysts like Apple in this gloomy growth scenario, a big contrast to the Debbie Downers out there — like a recent chart that could see a href=”″ target=”_new”>Apple at $70 a share (shudder)…”

Read more in the full article here.

MacDailyNews Take: Batten down the hatches!


  1. No shelter from sloppy management. Steve Jobs last great ideas are now being played out, no sign of any cool stuff in the pipeline (yes, upgrade the AppleWatch as you may). No need to mention the car folly there are now on, or possible Mars shots like Tesla. Cook was, is and always will be a logistics guy best kept in the background so we don’t have to watch him making a clown out of Apple with his twisted social agenda.

    1. Puxatawney Apple saw its own shadow so it’s at least six more weeks of Apple’s share price dropping lower.

      Yeah, it’s been one of those nuclear winters for Apple. Steve Jobs wanted to go thermonuclear on Android and Google but Alphabet went thermonuclear on Tim Cook and Apple. Clouds of radioactive dust are covering Apple shareholders.

      1. “Clouds of radioactive dust are covering Apple shareholders…” in money. Greater than 90% of smartphone profits worldwide. Greater than 50% laptop and desktop profits worldwide. The vast majority of wearable tech profits, FWTW.

        Every time there is a little bump in the stock price the pollyanna’s start spouting verbal diarrhea.

        The only reason Apple’s earning may be flat this year is because of the massive surge in sales when Apple finally delivered large screen iPhones.

        Could this be the end of Apple growth? Anyone who says they know either way is a liar, because nobody knows what Apple’s 2016, 2017 and 2018 road maps are.

    1. At $95 per current share, the equivalent pre-split value is $665. A measly 5% bump in value would bring it back to $700. Dunno why people are messing their pants about it…

      Do actually own any shares …or are you just dissing Apple? Anyone who actually owns shares would know this.

  2. Apple’s in a strange place – crazy success so far, but until the car shows up, its only got point upgrades foreseeable for most of its current products. We’re down 5% since the split, but close to 40% down from the high last July. That’s not good performance in anyone’s book.

    The annual success of the iPhone is already baked into the current price. Lord help them if they come up short one of these years. Their services are rather muddled (looking at you iCloud, Music), and not fully formed (AppleTV), while their once-revolutionary software has been castrated or ignored for less-capable offerings that still haven’t regained feature parity or the user-experience benefits of what they are replacing (Aperture, iDVD, iTunes). Not to mention the bugginess that seems to permeate their software products, lately. Their flagship machine is too niche (and now too dated) for a well-heeled enthusiast or prosumer to want, and some of their products are strangely over-priced, almost as if they forgot they still sell them (Cinema Display, iPod line-up). The new lines are no longer reasonably upgrade-able, so the TCO over time has gone down significantly – you’ll pay for a new display again when you want to replace your iMac.

    I could easily see Apple run down quite a ways before things turn around. Now that everyone already has a recent iPhone, iPad, iMac, and laptop, another recession will hurt Apple even more than the last one, as people slow their upgrade cycle or consider cheaper competitors.

    Or not. Hoping to be proved wrong.

Reader Feedback

This site uses Akismet to reduce spam. Learn how your comment data is processed.