Jim Cramer: When to buy Apple stock

In the last episode of Mad Money, Jim Cramer weighs in on when to buy Apple stock and said this is not the typical “Santa Claus rally.” Between COVID-19 vaccines sped by Operation Warp Speed, increased testing, and the potential for more federal stimulus money, Cramer said investors are probably not being bullish enough.

Apple logoFatma Khaled for TheStreet:

In a report on Tuesday, Nikkei said Apple has instructed suppliers to produce around 230 million iPhone handsets next year, a 30% increase from the pre-pandemic pace of 2019, with around 96 million slated for the first half of the year.

Cramer said that he thinks investors should be buying Apple this whole time because he has faith in the iPhone X and iPhone 12.

“The reason why people didn’t want to own Apple because of the possibility that China could shut them down will be off the table and that’s worth a lot,” Cramer said. “There is a possibility that there will be more demand just because the [Chinese] government will not make you feel like an outcast if you buy Apple phone.”

MacDailyNews Take: As Cramer has said in the past, own Apple, don’t trade it. As has been the case for many years now, it makes sense to simply accumulate AAPL, reaping dividends along the way.

6 Comments

  1. Come on… two and three splits ago cramer was saying sell, then buy, then sell… OR if you just sat on it and forgot it, you’d be just fine… buy it in your IRA and FORGET IT – look at it in 10, 15 years…

  2. AAPL is near to its highs achieved earlier in the year. For me it is a question of when to sell a portion at the high and wait for it to drop down before buying back again. There is risk of course that the stock could continue to go up. Apple are in their busiest season and the M1 and iPhones could mean this is a bumper quarter (more than normal) for the company.

  3. I am able to retire, because I sat on AAPL I had and accumulated with my dividends. No matter how low the market might sink, even led by an AAPL sell off, AAPL always comes back and then some. Thank you Steve and Tim.

    1. Definitely hear you on that. I bought all my AAPL stock in 2003-2007. Held on since then. From about 15K initial investment this has grown ~60 fold. So clearly long term investment but there may be opportunities to grow by selling at the highs and buy in at the lows. AAPL is volatile enough that this can be useful but a lot of luck is needed for sure.

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