I Know First system positive AAPL forecast: published on July 29 (before market opening) based on
"I Know First" stock algorithm.
Apple Stock actual performance: up 5.8% Gain In 1 Week
Another step that appears necessary before Apple could join the DJIA is for it to split its $600-plus stock in a way that would appropriately size it for the index. Being in an index usually means keeping share prices reasonably low, and splitting them when they get too high. Just a few years back, when Berkshire Hathaway (BRK.B) was included in the S&P 500, it followed the company splitting its B-shares 50 to 1. In Apple's case, it appears a split of between 5 and 15 to 1 may be proper for its initial entry into the index.
The coming launch of the iPhone 5 will be a big event – maybe the most important in Apple‘s history, according to FBR Capital analyst Craig Berger. He estimates that the iPhone 5 over its life cycle could sell as many as 250 million units and generate profits of more than $50 a share.
IMO AAPL is a BUY.
* Morgan Stanley
* I Know First system
are also optimistic on AAPL.
Good Luck to all of US!
A federal court jury delivered a big win Friday to Apple Inc., finding that Samsung Electronics Co. infringed six Apple patents and awarding $1.05 billion in damages in a closely watched case over mobile devices.
Apple's last 10-Q doesn't suggest increase in R&D. The company stated the following: "To remain competitive, the Company believes that continual investment in research and development and marketing and advertising is critical to the development and sale of innovative products and technologies."
The implied volatility of options on Apple , is trading at a near all time low. VXAPL, the so-called VIX of AAPL, is around 22% at the time of writing, the lowest level for 6 months.
Google and Apple are both trading at paltry P/E multiples considering their growth rates, operating margins, and balance sheets. Based on Bank of America's recent S&P 500 earnings estimate for 2013, the S&P 500 is currently trading at 12.76 times next year's earnings.