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AAPL Weak As Stress Tests Are Released
Stocks are falling modestly as investors receive results from the European bank stress tests. Future catalysts for Apple stock include monthly NPD data (Mac / iPod business); iPhone unit updates and exclusivity expiration in the U.S and other major European countries; iPad shipment ramp and international expansion; new content revenue streams such as video and books; and possible entry into the TV market with a refresh of Apple TV. AAPL trades at 22x estimated fiscal-year 2010 EPS and 14x Enterprise Value / Trailing Twelve Months Free Cash Flow.Jim Cramer Flapping His Gums On Apple (Yahoo Video)
What does Jim Cramer think about Apple? He loves it, still. And loves the peripheral plays (Cirris, ARM, etc.). He wishes, however, that Apple would do a 10 for 1 stock split to relieve some of the anxiety of buying such a high priced stock (Never gonna happen, ever.) Apple is now moving from retail to wholesale. Companies are starting to accept them and the enterprise market is much bigger than the consumer market is, so the upside potential could be huge. Half of the Fortune 100 companies are testing the iPad. Check out the iPad’s monster debut quarter.
Apple Gunning For Small Business Share Of The IT Wallet (The Wall Street Journal)
Apple is boosting efforts to appeal to small businesses. The company is targeting smaller, local businesses that it can reach through its chain of nearly 300 retail stores. Targeting smaller businesses could prove lucrative. North American businesses with fewer than 1,000 employees are expected to spend $310.8 billion on information technology this year, according to Gartner. Dan Frommer at Business Insider commented on AT&T’s assertion that they are attracting strong interest from businesses.
Play ETFs For iPhone And Droid Exposure And Miss Out On Returns (The Street)
One way to play a market is to distance oneself from heated brand competition and opt for investment strategies that cover the broader sector as a whole; in this case telcomm for exposure to iPhone and Android could be an upside. That’s a nice thought in theory, however both the selected funds are down year-to-date. The iShares Dow Jones U.S Telecom Sector Index Fund (IYZ) and the Vanguard Telecom Services ETF (VOX) both provide ample exchange-traded fund exposure to the telcomm sector. The funds are heavily dependent on their top positions, dedicating a respective 65% and 74%.
Shares Of AAPL Can’t Run Forever, The Looming Doom Is Near (Seeking Alpha)
There is an old adage; a great company is not necessarily a great stock, and vice-versa. The law of large numbers may have a way of stopping the stampede of Apple’s stock price. The company’s growth rate as a stock will eventually peak, and we could be embarking on that in the very near future. But can this trend of crushing numbers in the worst economic decline in 70 years continue, and more importantly, be even bigger than before?