Apple sets new all-time high

From Reuters "Wall St. opens higher on trade war de-escalation bets":

U.S. stocks opened strongly on Friday, as investors expected top-level trade talks between the United States and China to result in a partial trade deal and delay planned U.S. tariff increases.

My take: Careful here. Could be a bit of a short squeeze.

22 Comments

  1. Jerry W Doyle said:
    Geaux ! Geaux ! Geaux !

    Laissez le bon temps rouler! Laissez le bon temps rouler!

    0
    October 11, 2019
  2. Bruce Oran said:
    Been here before. Just ride it out, hope for the best and cash in your chips when it’s your time! As Cramer always says, “own Apple, don’t trade it”!

    0
    October 11, 2019
    • Jamie McDaniel said:
      “Been here before…”
      Yep! Then we drew the dreaded Go Back 12 Spaces card.

      0
      October 11, 2019
  3. Gregg Thurman said:
    My take: Careful here. Could be a bit of a short squeeze.

    Are we giving investment advice PED? : )

    $265 doesn’t look so far off now, does it?

    1
    October 11, 2019
  4. Robert Paul Leitao said:
    Although Apple is broadly held, institutions, in general, have been underweight Apple in their portfolios. As institutional interest in the shares rise, so will the share price. As I posted earlier today, the company’s economic moat is widening as Apple delivers advanced hardware and appealing services that enhance the customer relationship (and the customer experience) while raising competitive barriers. There’s really no reason (and no need) for Apple customers to look outside the company’s eco-system or beyond the company’s platforms for solutions.

    The level of qualitative analysis of Apple and its strong customer relationships remains shocking low on the Street. We are long past the point attempting to count iPhone sales has any value.

    3
    October 11, 2019
  5. Gregg Thurman said:
    I’m thinking of Apple’s OCT Earnings Report and Guidance.

    The compare to last year is very good. FQ1/19 revenue was down 4.5% YoY, a first down YoY comparison since my database began tracking such stuff (FY2005).

    iPhone unit sales comparison is going to be favorable given that the iPhone 11 will be available for the full quarter, whereas the iPhone XR was not.

    Further the iPhone 11 has been price reduced and most hardware comes with a full year of Apple TV+ for “free”. The promo does not negatively impact gross revenue, it is just reported as Services (over the period of one year).

    I’m looking at a December quarter guide that implies record December quarter revenue, that would be anything above $88.293 Billion. My gut (as twisted up as it is right now) tells me Apple’s guidance is going to imply revenue above $90.000 Billion, YoY growth of 6.8%.

    Throw in a trade deal and investor sentiment is going to surge (multiple expansion?).

    I’d appreciate contrarian (or supportive) thoughts.

    2
    October 11, 2019
  6. Gregg Thurman said:
    Bought NOV 1 $232.50 Calls at $11.20. AAPL @ $233.93 when purchased.

    0
    October 11, 2019
    • Gregg Thurman said:
      Whoops. Had looked at the $232.50 Calls, but bought $227.50s. Everything else in the above is correct. Sorry about that.

      1
      October 11, 2019
  7. Kirk DeBernardi said:
    Apple hit a new high?!

    Please allow me to be the first to post…

    …Apple is doomed.

    LOL — Ya gotta love this ride.

    1
    October 11, 2019
  8. Aaron Belich said:
    So, what’s the next Black Swan event that sends us back down to 140-180? War? Bonds stuffed with bankrupt car loans? Trump? China? Oh the life of a speculator must suck.

    C’mon $300, Baby needs a new pair of shoes!

    0
    October 11, 2019
  9. Mark Visnic said:
    Was anyone annoyed (I was) by CNBC trotting out Sacconaghi, billed as the #1 analyst on Apple (by whom? for what??) and letting him have an opportunity to say he wouldn’t rule out a $20-$30 price decline now and that, after all “AAPL was only back to where it was a year ago.”

    To be clear, when I step back a bit, CNBC and TS are a net aid to the extent they induce any degree of price inefficiency opportunity in AAPL. Nevertheless, it … is…. annoying … hearing such tripe.

    0
    October 11, 2019
    • Jerry W Doyle said:
      @Mark Visnic: Yes, in answer to your question. I was perplexed and a little annoyed, too. I wrote and posted my comments on this subject in the next later blog. Sacconaghi failed, or neglected inadvertently to say that while AAPL is back to where it was a year ago, so are the markets. People seem to forget that it was this period last year when everyone was realizing China was having a serious economic decline. Concomitantly, there were some other geo-political/economic factors also in play affecting the whole of the markets.

      0
      October 11, 2019
  10. Michael Thompson said:
    Trading Loser Vic:

    Are you still with us or did you permanently disappear as I predicted. How much money did you lose? How’s your portfolio doing because mine is up over 100% on millions this year. Maybe I know something.

    Many here don’t like my politics, but perhaps it might be wise to listen to my predictions. They basically all come true inclusive of Apple’s breakout. Here’s the best part, it’s all a matter of record.

    0
    October 12, 2019

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