This week’s Apple trading strategies (1/11-1/15/21)

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

To get things rolling, here’s CNBC processing Hyundai’s back and forth about working with Apple on a car project.

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

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.

9 Comments

  1. Jerry Doyle said:
    I have high regards for Apple analyst Ming-Chi Kuo’s predictions, but his prediction that Apple would come forth with a vehicle for market no sooner than 2028 seems illogical. The EV era will have left the train station by then, and Tesla will be so far ahead that even Apple with all its brand name & resources could not overtake or worse, compete with Tesla. Apple isn’t starting its venture into this arena now, Ming-Chi Kuo. Apple has been involved deeply in this arena doing R&D since 2013 (at least) & to think that it will take another 8 years on top of an already 7 years for a total of 15 years seems ludicrous. It didn’t take Elon Musk anywhere that period. Tesla started in 2003 & had its first roadster in production in 2008. The model S followed in 2012. So how is it that Apple can be so late to the game arriving in 2028 after having started in 2013, 15 years earlier? The lights already would be turn off and the folk who would adapt to an Apple vehicle instead are driving their beloved Teslas, or perhaps other brands

    2
    January 10, 2021
    • Gregg Thurman said:
      The EV era will have left the train station by then,

      Not even close. Besides, Apple is rarely on the front burner of new technologies/products/features, choosing instead to allow the front runners to blaze the trail that Apple will (even though late to market) come to dominate.

      1
      January 10, 2021
  2. Fred Stein said:
    Apple will not build an EV. They will build a SmartCar.

    Apple only brings out products that have compelling and sustainable advantages.

    How might this play out? See next.

    0
    January 10, 2021
  3. Fred Stein said:
    Next:

    Today battery technology and cost dominate the EV business. Legacy automakers are lost. They’re stuck with legacy sensors and controls, which add so much cost that they can never compete with clean-slate companies like Tesla.

    Apple will do a car, if they can do true self driving.

    As battery costs decline, Apple’s advantages chips, sw, AI, and especially security give them sustainable competitive advantages, with true self driving. To appreciate the risk of a hackable self driving car, see the movie “Christine”.

    1
    January 10, 2021
  4. Fred Stein said:
    Apple and true self driving: Way beyond my pay grade, so possibilities, not predictions or timing.

    Apple Watch as an example: The first Apple Watch was a breakthrough. But it was not waterproof and lacked LTE. It was not a “turn the car around product”. The current Watch is. We can leave home without car keys, credit cards or smartphones.

    An Apple Car, when and if, will likely follow a similar path, where future releases take us to a radically transformed future.

    0
    January 10, 2021
  5. Romeo A Esparrago Jr said:
    Better throw some water on Hyundai.
    Literally.

    “ DETROIT (AP) — Hyundai is adding about 471,000 SUVs to a September U.S. recall for an electrical short in a computer that could cause fires. And the company is warning owners to park the SUVs outdoors until they are repaired. “

    1
    January 10, 2021
  6. Aaron Belich said:
    A large capital expense such as a car, with a lifetime of 10+ years does not allow annual iterative change / release schedule, at least for low-rate initial production. However, if Apple does release they will sell whatever the production system supports the first year.

    But the real question would be how Apple handles service and support with an Apple Car, I haven’t seen anyone adequately address this.

    2
    January 10, 2021
  7. Paul Brindze said:
    Since the nominal topic of this thread is this weeks trading strategies for AAPL, here are my two cents:

    I dont know when an Apple Car will come out, but it seems to me that all this car talk is bullish for AAPL short term .. so my bet is up on PPS at least for the first few days of the week.

    Longer term is easy … Long Term Apple Bulls keep winning. 🙂

    2
    January 10, 2021

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