the iphone 6 will change the basic nature of that market, plus apple is only selling at the high end of the market, so market share of the price points it competes at is more important. apple is growing market share in china, which is what matters.
the whole market is going bonkers.
the days to cover only dropped due to the heavy trading days following the last earnings report. if shorts need to cover, they have a real problem. 114 million shares total, chip owns 27% or roughly 30 million, the top 5 institutions own another 58 million shares according to the latest nasdaq information ( not sure if this is up to date). i cant believe the shorts didnt cover heavily during those heavy trading days. if a deal emerges, the short sellers will be paying for a good portion of that premium.
with this level of momentum it is almost guarantee to hit 95, but will apple move up to 100, or will it peak out at 95 again? with solid earnings report to come and then move into new products, hard to see it not testing 100 very soon.
revenues in the latest quarter DROPPED from the previous quarter and profits were cut in half from the year ago period. the only rationale for this valuation is if gopro can become the go-to company for video content related to action sports and generate serious revenues from generating a channel.
if it is so great why did 1st quarter revenues drop and earnings drop by 50%? way over-hyped company trading on pure momentum.
then why did Q1 revenues drop from 255 million to 235 million and earnings fell by half? this is pure bubble speculation. the only question is when the froth ends.
maybe bigger in terms of units, but revenues will be smaller than ipad. i agree that the potential or iwatches far exceeds the current expectations. at 21 million units that adds 5 billion in revenues at $250 average selling price.
i just dont believe this rally is for real. this is a hit-driven business and both farm heroes and bubble witch are not close to candy crush. candy crush lost about 70 million in revenues from Q4 to Q1. how much more is it going to fall this quarter? but this stock might stay up for another quarter or so.
last week the stock was getting sold because the focus was google's i/o conference, plus it needed to move down to support level. as soon as it hit support everyone wanted to buy it again. the run up to next earnings will take it up to test 100. apple was hated for so long that valuation was kept low. mostly likely the run up continues for the next 6 months and by the end of that time apple will probably be overvalued. wall street overshoots on the upside and downside.
because they had one huge hit game that created a massive inflow of profits, but that is unsustainable. hit games are a fad, they come and go. there are thousands of game developers out there who are publishing the next cool game. hey, i hope that king goes to $50 a share, it will be a better short in the future. just take a look at the app charts and you can see that candy crush is not even in the top 50 apps anymore. bubble witch has fallen to #24 on phones, but is sticking at #6 on ipads. let's give it a few more weeks to see how that holds up. the p/e ratio of a company only matters if a company can sustain the revenues/profits. we saw that profits fell last quarter as expenses increased, that is the trend for the future of king. the only question is when is the peak? i'm still trying to do my DD to get that figured out.
very bad timing for you. apple is moving up ahead of anticipated strong earnings report. then comes iphone 6 launch. the only question now is whether it stops at 95 region or continues the move up to just under 100. the technical traders and fundamentals buyers are on the same side of this trade.
bouncing back so strongly from an analyst downgrade is a very strong sign for the week. my guess is that we re-test 42 later in the week.
the installation of king digital pre-installed on some devices will pump the user numbers up, but result in very little revenue. bubble witch saga is a perfect name for this company's game, since the company is also a bubble valuation stock. the higher it goes the better short it will become.
with the holiday weekend a deal would not happen yet. if lulu is able to rebound today, despite the analyst downgrade, then it will be set for a rise the rest of the week. while it is possible this gets trapped under 40, it looks to me like it is on track to execute a u-turn from this morning and move back up by the end of the day. bouncing back from a downgrade would actually strengthen the stock technically. will have to wait and see what happens today.
apple is already up .8%. will we see another end of day run up and continuation into the following day? if so, my guess is that it runs to the next resistance at just under 94 by tomorrow. after that, the gains should slow down, as it nears the previous high.
the big difference between the last quarter and the coming quarter is that last quarter ipad sales were down year over year by 13%. that was due to channel inventory changes and also the previous year had new ipad product launches, so it was a tough comparison. the coming quarter should see ipad sales return to positive year over year comparisons. combined with iphone sales at 39 million versus 35 million wall street concensus, the earning report should be a solid report that supports continued upward movement. looks like the apple chart is moving up to previous resistance levels and taking a break. the next move would probably take it to just under 94. the big question will be whether the stock can move past the previous high at 95, or whether it has to move down to gain some support. i am guessing that the stock will move up to high 90's before the earnings report and move past 100 on solid earnings. what seems to be apparent is that apple will be moving up to re-test the previous high this week.