Premarket: Apple is green, headed for record high

Apple premarket green 7-31From Investor’s Business Daily’s “Dow Jones Futures Signal Stock Market Rally After Apple, Amazon, Facebook, Google Earnings” posted early Friday:

Dow Jones futures and S&P 500 futures rose modestly early Friday while Nasdaq futures jumped on strong earnings from Apple (AAPL) and FANG stocks Amazon.com (AMZN), Facebook (FB) and Google parent Alphabet (GOOGL) after a mixed but bullish session for the coronavirus stock market rally…

In overnight trading, Apple stock, Amazon stock and Facebook stock rose solidly after big beats, with Facebook and Amazon both nearly doubling earnings. Google stock edged lower early Friday despite its strong headline results. These four stocks closed Thursday with a combined valuation of nearly $5 trillion, so the coronavirus market rally may take its cue from their action at Friday’s open.

AAPL stock, AMZN stock and FB stock arguably could be actionable Friday morning.

My take: Biggest premarket jump for Apple since I’ve been following the stock.

28 Comments

  1. Romeo A Esparrago Jr said:
    I got a nosebleed thinking that the price is in the $2,800s pre March 2014 7-to-1 split and in the $100s post August 2020 4-to-1 split. 🙂

    5
    July 31, 2020
  2. Romeo A Esparrago Jr said:
    I just saw 412 half an hour before the bell. Close to a $30 diff from yesterday’s close.

    3
    July 31, 2020
  3. David Baraff said:
    Woohoo! At the end of August I will be able to say that I own some Apple shares with the cost basis of $1

    (Technically, $1.28 but $1 just sounds so cool.
    Then just one more 4-1 split to having it be $0…)

    3
    July 31, 2020
    • Mordechai Beizer said:
      Pretty good. My lowest basis is from 2006 at $10.43 so that will become $2.63.

      0
      July 31, 2020
    • David Drinkwater said:
      I already got AAPL shares with a cost basis of $1.29. And I have given some of those away for charity. Fool me, but I am a happy fool.

      0
      July 31, 2020
  4. Romeo A Esparrago Jr said:
    So if Mr. Philip allows a re-do of our Founder’s Day 2021 bets, post Aug 4-to-1 split, I want dibs on 504 / 4 = 126.

    1
    July 31, 2020
  5. David Baraff said:
    Stock splits are weird. Having hit $400, it seems hard to imagine climbing quickly to $500.

    And yet, I have no difficulties imagining that after we split to down $100 in August, we could quickly see $125…

    7
    July 31, 2020
  6. Richard Weathered said:
    Looks like I need to go hunting for my snorkel at 411.90

    2
    July 31, 2020
    • Kirk DeBernardi said:
      You’ll be amongst good company. There’s a lot of us down there.

      1
      July 31, 2020
  7. Rodney Avilla said:
    Not to be nit-picky, but aapl was around $408 yesterday in post market trading. I don’t think it changed much, if at all, this morning in premarket activity.

    0
    July 31, 2020
  8. Bart Yee said:
    Too late Richard, as I write, AAPL is at $420.90, up over $36.00. I would really like to know what the proportions are between institutional and retail sellers and buyers are for today. Volume at 12:23pm PST is 73M, double the 30d average. Oops, now at 421.65!!!

    Breathtaking!!

    0
    July 31, 2020
  9. John Konopka said:
    Clearly this is an amazing run up. Geez. We could almost retire just on today’s delta.

    This is the perfect storm. Everyone is stressed by the pandemic. Yesterday they announced the economy retracted by about a third and after hours Apple announced a blow out quarter, and they have great prospects for the next several quarters.

    We talked about Apple being a safe harbor recently. Now it looks like a super safe harbor while there is a hurricane blowing through the open seas.

    12:34PM +38.56 ( 10%) P/E 32.05 and 76.33M volume. Amazing day.

    It is amazing that Apple was able to keep the lid on their earnings report till after the market closed yesterday.

    1
    July 31, 2020
    • Bart Yee said:
      John said “It is amazing that Apple was able to keep the lid on their earnings report till after the market closed yesterday.”
      Very true! Apple’s privacy execution works both ways, for consumers and users, and for the company. While Cook was testifying before Congress, looking properly somber, concerned, and serious, you just KNOW that he’d already seen the numbers, had already held pre-call meetings and rehearsals, and was bursting with pride about Apple’s accomplishments and its contributions to societies worldwide.

      In the future, will the earnings calls be on Zoom instead of just phone calls so that we can see Cook and Maestri trying to stifle huge smiles while announcing results? A call like yesterday’s practically deserved presentation in the Steve Jobs Theater!!

      1
      July 31, 2020
      • David Drinkwater said:
        I have strongly mixed feelings about their privacy execution. I was a shareholder in ~2006 after buying in 2002. The stock split 2 for one, and I was up 5X on a cost basis, so I sold half and bought JNJ which is relatively flat since then. Shortly after, the iPhone was announced. Things went skyward. If I, as an investor, had had insight and an NDA into what Apple was up to, I would have been rewarded with over $1,000,000 more in AAPL shares than I have now. And if I had known more, I would have bought more than I did after the fact. That is actually an understatement, and as a shareholder, I feel somewhat dis-served by their secrecy.

        I would be very interested in a separate class of AAPL shares with NDA.

        0
        July 31, 2020
  10. David Baraff said:
    Holy crap.

    I looked away for an hour and blam!

    Getting kind of nostalgic, for how I used to think a mere $412 was expensive. Seems so cheap now…

    2
    July 31, 2020
  11. Bart Yee said:
    Love this statistic on Yahoo! Finance’s expanded chart:
    Support 203.77
    Resistance 388.23
    Stop loss 355.46

    Now at $425.26!!
    Resistance is Futile!

    0
    July 31, 2020
  12. Alan Birnbaum said:
    What a finish ….. $425 ; PED – I think most, if not all, of us are under..
    A new contest for 4.1.22 perhaps ?

    I kinda like getting soaked like this.

    1
    July 31, 2020
    • David Drinkwater said:
      Yeah, I don’t mind losing $100 over this.

      0
      July 31, 2020
  13. Brian Loftus said:
    Apple could pull off the jump from one trillion to two trillion in 4 years. So much for the “law of large numbers” bullshit.

    5
    July 31, 2020
    • Bart Yee said:
      I think you may have mis-typed when you said 4 years?
      Apple crossed $1T (Trillion with a T!) market cap on August 2, 2018. At today’s 10Q filing of 4.355 billion shares outstanding, Apple would cross $2T with a market close of $459.27, a scant 34.23 points or 8% from today’s close. It’s very possible, yea, probable, that Apple will achieve 2 Trillion market cap by end of August and before the split. That would be 49 months.
      Take into account that Apple also retired ~571M shares in that time frame.

      1
      July 31, 2020
      • Robert Martin said:
        As they say, the first trillion is the hardest.

        2
        July 31, 2020
  14. David Baraff said:
    I We will be mildly surprised if we don’t see a dip under 400 at some point though. Every single move across a century mark always has the stock crossing back the other direction at some point before continuing onward…

    3
    July 31, 2020
  15. Marc Bosch said:
    My lowest basis cost is from Oct. 2000 at $2.16 per share, so they will become 54₵ per share. Hard to believe!

    0
    August 1, 2020

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