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AAPL Up Strong Ahead Of Event
Apple will host its September 1 event streaming live at 1pm ET / 10am PT. Other than today’s news flow, future catalysts for AAPL include monthly NPD data (Mac / iPod business); iPhone unit updates and AT&T exclusivity expiration; iPad sales updates (possibly today); new content revenue streams such as video and books; and a refresh of Apple TV (possible announcement today as well). AAPL trades at 13x Enterprise Value / Trailing Twelve Months Free Cash Flow (incl. long-term marketable securities).
LIVE COVERAGE Of Today’s Event (Business Insider)
Join us live today at 1pm ET / 10am PT for real-time commentary of Apple’s San Francisco Event.
Best Guesses On What Will Be Announced / Introduced Today (Various)
The press offers its two cents on what today’s event holds:
- Forbes: The only thing Apple has said about what will happen Wednesday is that it will host an event. And Apple has introduced new iPods every September since 2005. Not very insightful.
- The Street: The top five things you are likely to see from Apple today: 1) Smaller iPod Nano; 2) Cheaper MacBook Air; 3) iPad sales update; 4) iPod Touch with camera; and 5) A second camera on the iPod Touch.
- Fortune: Apple is more likely to release a new version of the iPhone 4 today than it is to announce a new iPod touch according to the gambling odds. I’m going to stick with analyst predictions and let them bet on the NFL season opener.
- The Wall Street Journal: Fox (News Corp.) and ABC (Walt Disney) are slated to announced $0.99 rentals of television shows through the iTunes store today. Now that would be awesome.
- Bloomberg: Apple is set to unveil an updated version of its Apple TV set-top box that will include programming from Netflix, according to sources.
Apple’s ROIC Is In Decline But Still Highly Attractive (The Motley Fool)
Many investors, like Warren Buffett, use calculations like return on invested capital (ROIC = net operating profit after taxes / invested capital) to determine whether a stock will yield a return on its money beyond that money’s cost. Currently, Apple has an extremely attractive ROIC of Apple 48.7%. That is, however, lower than a year ago at 108% and three years ago at 310.4%.
Google And Apple Have Already Won The TV App War (MarketWatch)
According to Cody Willard at MarketWatch, the winners in the TV app world are going to be those that hit critical mass first. And that’s already being fought in real time and indeed with tens of thousands of apps ready to be unleashed via Android / Google TV and iTunes / Apple TV the TV apps battle is almost over before it even hits your living room. No mention of Boxee which is actually in the living room now.
Daily Trader: Trading AAPL Ahead Of Today’s Event (CNBC)
There have been strong volumes in Apple 250 calls, even though they expire Friday. That activity illustrates how excited people are in anticipation of today’s event and the upside it could bring. Could be time to go long the stock outright as it breaks out of the $240 funk.