A lot of nonsense has been pouring forth from so called and self proclaimed financial gurus at the Street, Motley Fool, Seeking Alpha and many many others that Apple may have lost its innovation. Pure gibberish. Apple is the only technology company that has the roadmap to how technology will look in 1-3 years. And they have been at it already for the past decade or so. There has been foolish talk of Samsung or the Droid overtaking Apple but these stories just don't begin to address the Eco-System. When Apple delivers their iRadio, iTV, iWatch (as a minimum) - and they will delivery these items shortly, they will be the only technology company connected across all products. Even more compelling is these devices will be connected to their iCloud - just gaining traction. it is this Eco-System that will allow a true one-stop link between us and the information and entertainment age. No other company is even close to this. And with how many hundreds of millions of iPhones already sold - well I think you all begin to see the picture. This stock is so undervalued here and I feel fortunate for the opportunity to accumulate at these levels.
Per the last conference call, iTunes generated record results with revenue of $2.1 billion in the quarter and established new all-time quarterly records for revenue from music, from movies, and from apps with cumulative app downloads now surpassing 40 billion in number. Additionally, All Things Digital (9/12) reported last fall that:
---the average customer has about 100 apps
---there are 200 million customers using iTunes in the cloud
---there are 435 million iTunes accounts (with associated credit card numbers)
---there are iTunes Stores available in 63 countries
iTunes may be peanuts for Apple, but not to Apple's customer base who have a vested interest in the ecosystem. iTunes is what helps lock people into repeat buying of their products. That is one of the elephants in the room for the shorts. But seeing as how the short interest is relatively small in Apple, no one really has to be concerned about the impact of the shorts. I am only making a statement on why repeat sales can be sustained.