The market is the ultimate head game. They will spin the truth so you don't know whether you're coming or going. Every metric of fundamental analysis should tell you aapl is a screaming buy. However we read every day even the most bullish at 700 now have a problem supporting aapl at 450. This is because people are weak minded and easily influenced and fear is the greatest weapon in driving a stock to a bargain level. A year from now you'll wonder how they did it to you.
You are right about head games, that is why you beleive the people were bullish as they sold at 700. Now the bagholders are left commiserating. A year from now you will realize it is going to take several years to break even.
Absolutely. Just look at the free cash flow they are generating. This can't be stopped unless they completely change their business model. Apple simply makes the lion's share of profits in mobile by far. Forget market share. Now going forward how can they keep a stock that will have half its market value in cash at this low level. It's impossible. Apple would have to begin a series of qtrs where their business falls off a cliff for the market to ignore them or send them lower.
Just look at the people who buy their products and ask yourself what percent are going to switch brands. The answer has been very few. These folks buy several apple products and down load tons of apps and are fully engaged in the apple ecosystem. Apple has plenty of enhancements in the pipeline including fingerprint recognition and Iwallet transaction capability. All it costs is 200 to upgrade to the newest model.
Apple will soon have half a billion in the IOS system and billions more when you include China mobile and the prospect of a cheaper form factor phone for the masses. This stock will be 600 in a year or less based simply on what we know. Now if they produce another disruptor ie an ITV who knows where this can go.