This week’s Apple trading strategies (12/14-12/18)

A place for Apple traders and investors to share their best ideas.

Let’s get thing rolling with CNBC’s “How Apple Gets You To Spend Money” from its Make It series. I’d call it a 13:41-minute Apple ad, except Apple’s own ads are much cleverer, with better production values.

Below: Apple vs. the S&P 500 (normalized)…

apple trading strategies 12-14

Disclosure: Although I am now an Apple shareholder (see Why I bought a share of Apple, my first), I am in no position to give trading advice. Don’t blame me if you drain your IRA doing something you read about here.

See also last week’s trading strategies.

7 Comments

  1. Dan Scropos said:
    With AirPods Max and HomePod mini sold out into 2021, it may be time for me to buy more shares if the share price dips below $120. The next earnings report will be incredible and Apple *already* has cash registers ringing into the next quarter.

    Earnings should surpass $5 in fiscal 2021. Slap a 30-35 P/E and you’re looking at a $150-$175 share price. Additionally, the value that is Apple One (Premium in my case) adds a layer of unparalleled stickiness to the company. I added 4 family members that knew nothing about it, yet are currently loving it. That incremental stickiness cannot be overstated.

    3
    December 13, 2020
  2. Gregg Thurman said:
    The averages caught up with me last week. Neither of the two Spreads I bought were profitable.

    I remain undeterred and will do it again tomorrow as my profitable trade percentage remains above 80%. My weekly ROI percentage dropped to 23%.

    0
    December 13, 2020
  3. Robert Stack said:
    Re the video: What a waste – full of all of the cliches we have come to know (and hate) about Apple over the years. Apple as cult, stores as “churches”, and the indignant Android user who doesn’t quite get it. And not ONE SINGLE WORD or perhaps I should say NO DIALOG about user privacy!!

    5
    December 13, 2020
    • Aaron Belich said:
      #Savedmeaclick

      Thank you Robert!

      2
      December 13, 2020
  4. David Drinkwater said:
    This year, as I prepare for my year-end philanthropy with appreciated securities, I asked my broker for some recommendations and said “I know Apple has settled in at ~25% of my overall net worth, but I feel so strongly about where they are going over the next two or three years (and even the end of 2021CQ1) that I am really not wanting to part with AAPL.”

    In recent year’s I was somewhat strong-armed into using AAPL for these purposes. This year, there was no guff.

    So my strategy for AAPL is to hang on to what I’ve got. I believe that, in 3-5 years, as the company closer approaches cash-neutral, more of its earnings/profits will turn into dividends, rather than buy-backs. Both are good for me, but I’d like to see the dividend grow.

    Turns out, the victim of my giving may likely be Qualcomm (which does make Friday’s action somewhat disappointing).

    1
    December 13, 2020
  5. Gregg Thurman said:
    I thought the video did a good job describing the Apple experience. They didn’t get into the technical superiority, but then who cares, “it just works”.

    The Android geek is the outlier of customers. If customization was important the Android ecosystem would be doing much better. The reality is that people have experienced that customization/build your own “benefit” in the Wintel world and, except for the enterprise, rejected it.

    1
    December 13, 2020
  6. Bart Yee said:
    In the AAPL price graph above, I’d also put the Disney announcement of its expansive streaming subscriber base there as well. The DIS 20+ point jump may also have elicited a bit of AAPL profit taking and rotation into DIS, especially with potential reopening of parks and theaters sometime in 2021 IF we and they are lucky.

    0
    December 14, 2020

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