Aapl - Apple

Discussion in 'Investment Charts' started by longtermbull, Mar 22, 2017.

  1. Buyonthedips

    Buyonthedips Senior Investor

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    Unfortunately, investors seem to be losing confidence in the Apple management which is a major problem in the long term. When iPhone and associated products were relatively new and some way from maturity there was no reason to look at spending the company’s massive war chest. However, the cash cow which is the iPhone and associated products is showing signs of maturity and investors are concerned about how future gaps in profitability will be filled. Ironic, a company with hundreds of billions of dollars on its balance sheet is under pressure for not spending it!
     
  2. Chartman

    Chartman Senior Investor

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    Oh how the might have fallen - the share price graph does not look good. I dont think they will collapse much further but maybe some of the shine is disappearing from a company that could previously do no wrong?
     
  3. gowiththeflow

    gowiththeflow Senior Investor

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    It is crunch time for Apple - they need a new profits driver going forward as the iPhone revolution continues to mature. The company has known for years that another leg to the business was required but what do they decide to do? Use the massive cash pile to take the easy option, buy back shares.
     
  4. Buyonthedips

    Buyonthedips Senior Investor

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    I have just been reading up about the Samsung S8, S8+ and S9 mobiles phones. There is some very good feedback about all of these models and it does look as though the iPhone does have a serious competitor in the short to medium term. Does anybody else believe the iPhone is now a mature product?

    It may well be a useful “cash cow” in the short term but Apple does need to up its game and show us plans for the future because at the moment investors are uncertain.
     
  5. JR Ewing

    JR Ewing Super Moderator Staff Member

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  6. gowiththeflow

    gowiththeflow Senior Investor

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    All sounds a little desperate to me :)

    This must be the first time that Apple, a company that cares not for what others think but just "gets on with it", has so publically attempted to support its own share price?
     
  7. longtermbull

    longtermbull Administrator Staff Member

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    Warren Buffett is a self proclaimed technophobe but he did open his mind to tech shares a few years ago. I dont think Apple is as well focused as it once was and there does not seem to be any forward planning about replacing maturing products such as the iPhone, etc.
     
  8. inthemoneystocks

    inthemoneystocks Member

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    [​IMG]

    Shares of Apple Inc (AAPL) have soared in the past week, jumping over $25/share. This was a double whammy move. First Apple reported better-than-expected earnings, then Warren Buffet told the world he bought $75 million shares of Apple in the last quarter. While it is definitely great news for the biggest company in the world, the chart is now screaming 'overbought'. There is a great short swing trade on Apple at $187.50. The stock is tagging its upper trend channel range and will likely see a near-term pullback to $179.00 in the next week.
     
  9. Chartman

    Chartman Senior Investor

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    I totally agree but I would go further to suggest that not only are the shares over bought but fundamentally I cannot see what will happen as the iPhone, iPad, etc begin to mature. The company has been sitting on a huge cash pile for years and the best they can do, a share buyback. Where is the forward thinking that Apple was once renowned for? This would not have happened under Steve Jobs and why was Apple bulling up Warren Buffett just because he increased his stake? Was there really any need to take that desperate looking action?
     
  10. Buyonthedips

    Buyonthedips Senior Investor

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    Again, I will not be buying Apple on the dips - at least not until I see a clear future for the company when (and it will happen) the iPhone, iPad, etc products go ex-growth and mature. They will be a cash cow for a few years until competitors catch up but as we have seen, Apple's management has no enthusiasm for investing for the future. Instead looking to curry favour with current investors with buy backs and increased dividends. This would not have happened under Steve Jobs :)
     
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