Do you guys remember what we wrote when the stock "crashed" from $640 to $530 last Spring en route to the 19% total drop to the $522 floor? We said it was insanely oversold and would soon have a violent reversal and so to be positioned for that.
Today, the stock has "cratered" to as low as $541 -- a drop of 23% from the recent high. THAT is stupid given the blazingly strong fundamentals here, the chart, the institutional sponsorship, the emerging markets growth, relevant data points, the $130m of cash they presently have, the new dividend yielding 2% and bound to rise, the now activated share repurchase plan (which needs to be stepped up but that's another story), the likelihood that china Mobile gets announced within weeks, the enormous ramping opportunity AAPL has throughout the emerging markets, and the rock solid, early innings sustainable franchise power here.
The cnbc "journalists" are a pack of tools for the short hedge funds. Truly ludicrous scheduling of AAPL naysayer guests... someone at Comcast ought to kick them in the nuts re their part in frightening retail investors out of the investment story of a lifetime if not the century.
As for the AAPL's gaffs with the analysts, AAPL has made them all look stupid by changing out the practice of underpromising and then smashing guidance to where over the last three quarters all they did was to beat guidance (and miss consensus). Analysts lose face, clients and bonuses like that and so now AAPL needs a new a new CFO or at least IR players, but all that is temporary noise too. Ultimately, sellsiders don't matter... neither do taxes or cap gains or any of the other horsecrap talking heads. All that matters is the long term execution and AAPL is going to continue to dazzle on that.
Further, the list of other downside drivers for the stock is long, but they are all transient and illusory. The stock is now WAY oversold, AGAIN, and it won't stay down here for long.
Those selling, incl margin dept clerks and mm looking for insanely dumb retail stops (if you would sell down $10, sell at the bid and go play bingo), aren't thinking about value... but those scooping the poo floating in the pool during the big pool party are going to make the $200 upside run between now and February.
A staffer just told me Terranova (Fast Money) is now buying AAPL saying it is very compelling. What a F tool and scary to think he is getting long.
That gumper has been a naysayer since $240 (back when they had "only" $40B of cash, no iPads, were launching the iPhone4, and didn't even have the MacAir. Two nights ago he said the panel "had done a good job with AAPL" all along. What a gump.
Karen and the najarains have been the only ones who played AAPL well. Those 3 remain long.