Premarket: Apple starts 2020 by barreling toward $300

That’s a share price that would make fools of practically the entire analyst community.

Below: My full list of Apple price targets—now with gap between target and closing price—as accurate and up-to-date* as I can make it. Corrections appreciated.

Click to enlarge. *I rely on TipRanks ($) for the estimates of an analyst who shall remain nameless (long story).

14 Comments

  1. Michael Thompson said:
    The Wave is coming for three more analysts this morning and possibly another five within days. This graphic is more telling than ever before. To say that this condemns almost the entire Apple analyst community would be an understatement.

    The Moron Index 305.01 (the price that we surpass the combined PTs of Zhang/Ferragu) draws ever nearer.

    5
    January 2, 2020
  2. Gianfranco Pedron said:
    Ferragu and Zhang need to be taken to the woodshed … and left there.

    1
    January 2, 2020
  3. Gregg Thurman said:
    Placed order for JAN 10 $290/$292.50 Call Spreads @ $1.80 in both Roth and Corp accounts (about $5 in-the-money). ROI if successful 37.12% (includes fees) for a one-week investment.

    I’m stepping out of my usual 15%-20% weekly gain strategy due to approaching January Earnings Report and Conference Call, and the rally that normally precedes it.

    0
    January 2, 2020
  4. David Baraff said:
    OMG, this sucks. The dividend yield for AAPL continues its plummet, unchecked. It is barely above 1% now, and could break below that shortly.

    At this rate, the yield may reach ZERO this year.

    Doomed, I tell you. We are all doomed. (Only a matter of time before astute financial journalists advise everyone to sell ahead of the yield reaching zero. Don’t be the last one out…)

    2
    January 2, 2020
    • Jerry Doyle said:
      @David Baraff: Well now, I guess Tim C & the good governing board will need to move with alacrity at the upcoming shareholders’ meeting to rectify this problem through an increased dividend. -:)

      1
      January 2, 2020
      • David Baraff said:
        In all seriousness, I actually do wonder if they might accelerate the dividend increase because it has gotten so shockingly low. Last year’s increase seemed a bit paltry (5% or so), even more so in comparison with the previous year’s 15% jump.

        I sure wouldn’t mind a nice fat jump upward, as the dividend stream for AAPL provides a very nice source of real $$ since I just never ever sell AAPL and let it ride.

        6
        January 2, 2020
        • David Emery said:
          For comparison, MSFT is at 1.32% And I think the rest of the FAANGs weigh in at exactly 0.0%

          0
          January 2, 2020
  5. Thomas Larkin said:
    This morning one of the regular naysayers from the Forbes Contributor Network, Peter Cohan, has seen fit to share his view of Apple and AAPL, telling us it’s overvalued by 59%, and he would not consider buying until it’s down to a PE of 10 and a per share price of 122. This is, based on my recollection, par for the course for this guy, a long time Apple hater. He’s now outdone Ferragu and Zhang. Anyone know the back story on this guy’s apple hatred, it seems to defy rationality.

    2
    January 2, 2020
    • Gregg Thurman said:
      I believe, because its a Forbes article, that it is Forbes that hates Apple, and they just print articles that support that point of view.

      1
      January 2, 2020
  6. Turley Muller said:
    Making me nervous. I think when these guys finally come up to the surface that will be a sign that a top is in.

    0
    January 2, 2020
  7. John Konopka said:
    As I write this AAPL has just touched $399.41. So close to $300! Amazing. A few months ago I had thought we might see $260 this month. I think that is why so many analysts are under water. Apple’s rise has been very fast.

    There is a real sea change going on with Apple’s valuation. The trailing P/E has now crossed 25. This may not be an all time high but we haven’t seen this for a decade or more I believe. It would seem reasonable for Apple to have a P/E of between 25 and 30. Much higher than that I would start to worry about irrational exuberance.

    Apple has been raising the dividend in May every year. No reason to think this year will be different. Just my opinion, I suspect this year the dividend raise will be 10 – 15 percent. Probably on Seeking Alpha I read an opinion piece explaining that last year the dividend raise was small for reasons related to buy backs and the earnings warning that they made. I didn’t quite understand it, but so be it. This year everything is on an even keel and sales are going great guns so they will probably return to historical raises. 20% would be a huge gift.

    Still wondering, anyone else trying to go to the shareholders meeting this year?

    0
    January 2, 2020
  8. Gianfranco Pedron said:
    AAPL broke through $300.00 2020-01-02 20:52 zulu.

    Thank you Santa.

    4
    January 2, 2020
  9. Romeo A Esparrago Jr said:
    I hope Mr. PED uses an image from the Frank Miller comic/movie “300” for his next article.

    Looks like folks are buying low now to sell high later.

    Happy New Year!

    3
    January 2, 2020

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