AAPL is Overpriced!

S

Safilo

The pundits and Icahn are saying AAPL is undervalued; I think it's overpriced at $530 since they're not doing anything new and are sitting on boatloads of cash. They are releasing refreshes of existing products and they're not bringing that innovative new product that everyone else wants to copy.

After the news that indicated Icahn held >$2 billion worth of shares, it seems like the stock price is due for a landing because what's really justifying its current price level? Nothing...but of course, Icahn wants you to think AAPL undervalued because of his position. He's coming across as the old guy trying to be "hip with the young'uns" but kinda missed the boat since apple has been treading water since jobs kicked the bucket.

Apple is also supposedly investing more into manufacturing rather than just design and marketing that they've been doing so far. That could be good news in the long term if they can come up with some new products, but not if their plan is simply to milk the ipad and iphone without introducing anything new.

AAPL is definitely an "emo" stock that doesn't respond logically to data but for the long term I'm overall bearish on it.
 
sure apple can move higher. i think any stock can move higher until people figure out a place to put there money without risk. this is the market we are in today.

whats overpriced anymore? we won't know that until the fed exits the door. its based on a ton of money in the markets that need a home for a short time. the pe does not matter. you want to see revolution? you watch what happens when the fed over prints and your bank account buys a lot less and your stocks that you were forced to be in tank.
 
Quote from AAAintheBeltway:

Maybe Bill Ackman will join in the short.

Icahn is on the hot streak of his lifetime. Fade him at your peril.
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When you have people taking billion-dollar positions in any stock a lot of people feel "safe" in doing so with their own money...but as I said in my original post, Apple doesn't have much going on for itself beyond existing product lines. A thinner ipad and speculation of an iphone with a curved screen aren't exactly earth-shattering prospects...that, and their patent-trolling efforts. Apple has lost major market share to android-based phones and is facing stiff competition from Samsung.

Apple is not going away anytime soon so your money is relatively safe being invested in AAPL and yet they're unlikely to grow much as a result of their own merit so your money is almost certainly better off invested elsewhere for now if you're interested in ROI.
 
Quote from Safilo:

The pundits and Icahn are saying AAPL is undervalued; I think it's overpriced at $530 since they're not doing anything new and are sitting on boatloads of cash. They are releasing refreshes of existing products and they're not bringing that innovative new product that everyone else wants to copy.

After the news that indicated Icahn held >$2 billion worth of shares, it seems like the stock price is due for a landing because what's really justifying its current price level? Nothing...but of course, Icahn wants you to think AAPL undervalued because of his position. He's coming across as the old guy trying to be "hip with the young'uns" but kinda missed the boat since apple has been treading water since jobs kicked the bucket.

Apple is also supposedly investing more into manufacturing rather than just design and marketing that they've been doing so far. That could be good news in the long term if they can come up with some new products, but not if their plan is simply to milk the ipad and iphone without introducing anything new.

AAPL is definitely an "emo" stock that doesn't respond logically to data but for the long term I'm overall bearish on it.
More...

Apple is a classic case of THE MAN leaving the company ( ok dying then ), It could go from top co. to a second rate plodder if another top man can't be found.

Same happened to Microsoft and others.
So the moral of the story is invest in the - "best people's" - companies. Tim Cook is looking decidely of mediocre talent. Just dressing like Steve Jobs is not good enough.
 
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