“When Apple was last this far from its highs, it had a massive surge over the next year,” Keris Lahiff reports for CNBC. “In May 2016, the stock had fallen 33 percent from 52-week highs. Over the following 12 months, it rallied 75 percent. Apple begins this week exactly as far from its record peak hit in October: 33 percent.”
“Craig Johnson, chief market technician at Piper Jaffray, said the recent slump in Apple echoes that move in 2016,” Lahiff reports. “‘Look at the correction that we’ve had — over 30 percent peak to trough — we’ve seen this before,’ Johnson said Friday on CNBC’s Trading Nation. ‘I don’t think investors are going to get many opportunities to buy a high-quality stock like this on that kind of a correction-slash-setback.'”
“Wall Street tends to agree. While the shares have plummeted, analysts have stuck to their price targets,” Lahiff reports. “The average price target on Apple is 40 percent from current levels…”
Read more in the full article here.
MacDailyNews Take: As always, Wall Street is a risk and everything’s a bet, but some bets are surer than others.
In fiscal year 2018, Apple’s revenue grew over $36 billion to $265.6 billion. For the current quarter, Apple has guided for revenue between $89 billion and $93 billion, a new all-time record. (That’s revenue of roughly $1 billion — with a “B“ — per day.)
When analysts learn to see without the unit share blinders Apple has just removed, hopefully their eyes won’t pop out of their heads when they finally see those huge numbers and realize how very much more is to come. — MacDailyNews, November 28, 2018
When the lemmings, er… “analysts” start their upgrade parade, then you’ll know the bottom has been found. – MacDailyNews, November 26, 2018