I've asked this question and got lots of responses. Your p/e suggestions range from 8.75 to 15, mostly. I think you should know that many bloggers are saying 8. So, there you have it. Apparently, no one is willing to pay a premium for this stock anymore. I'm certain that Einhorn was correct when he said that Apple is being punished because it is not shareholder friendly...and THIS IS THE MAIN REASON.
If this is a serious question, then the answer is a PE of a miniumum of $12 ex-cash. So we are talking $630ish at $40EPS. The company is printing cash with a significantly better than 50-50 shot that they are still growing.
Sentiment: Strong Buy
It depends on how many rumors that you believe. If you believe that a chip supplier's revenue is down because of slow iPhone sales, $350 to $400 might be fair, But if you believe that Apple iPhone sales are not down and that they are switching; suppliers then the price should be much higher. I think that Apple is reshuffling suppliers and sales and outlook will be good when they report. Plus I expect them to declare a much higher dividend at the same time.
I mean, what is the bargain basement price that anyone here would think of if a company were to projected to make $40 minimum for the next 5 years. What p/e would you give it ?...please just the numbers, I need to know.
If they cont to make 40$ per year then in 5 years they will have almost 350 in cash/ share.
Trading at the current price of 3 times cash the price will be at 1050$ per share.thats with zero growth, no new products, no divident increase, no buyback, no china deal.