Investing in Apple Stock

[AppleFanB]

Hi,

I have been following Apple for years now, and finally grew old enough to open by myself a brokerage account, but especially old enough to have the funds to invest. Anyway, my question is, should one invest before their upcoming October 18th earnings release or wait for a few more weeks before the holiday season. I know that markets are unpredictable, but maybe someone has analyzed in the past the impact of Apple's earnings releases on stock prices.

Thank you!

 

[Tower-Union]

Traditionally Apple's stock jumps when they release a good quarterly result (and this one looks to be EXCELLENT). I'd buy in now, and then hold it until somewhere in the new year. I actually just bought some stock recently @ 285.

 

[rdowns]

Been an AAPL stockholder for about 11 years. While the stock will likely jump after earnings are announced, you can count on a nice drop as profit takers cash out before the 18th.

Next week will be a wild ride on AAPL. Remember where you heard it.

 

[Salacion]

Been an AAPL stockholder for about 11 years. While the stock will likely jump after earnings are announced, you can count on a nice drop as profit takers cash out before the 18th.

Next week will be a wild ride on AAPL. Remember where you heard it.

How much did you make with your last cash out? When was your last cash out? When and how much was your last buy?

 

[COMtnBiker]

I bought a chunk of AAPL at $107 the day after I bought my MBP. I was so impressed with the OS/Hardware/experience, I figured I should buy stock!

My wife continues to remind me EVERY DAY.... "why didn't you buy more stock at 107?"

 

[Salacion]

I bought a chunk of AAPL at $107 the day after I bought my MBP. I was so impressed with the OS/Hardware/experience, I figured I should buy stock!

My wife continues to remind me EVERY DAY.... "why didn't you buy more stock at 107?"

That's a nice chunk of profit.

 

[rdowns]

How much did you make with your last cash out? When was your last cash out? When and how much was your last buy?

I bought my shares at $11.63. Sold 25% at the last AAPL split. Been long ever since and plan to stay that way.

 

[Salacion]

Holy motherload!

 

[GfPQqmcRKUvP]

Call me a skeptic, but I just don't see the value of AAPL rising that much more. The expectations on growth are absolutely ludicrous, and even though they've been met and exceeded, the first sign of falter will send the stock tumbling. I had AAPL at a lower price a while ago and sold for a nice profit, but I just really doubt the high valuation. If someone wants to run numbers on how a Verizon iPhone would impact their NI and EPS, I'd love to see that, but at a market cap of $268 billion, how much higher can it go? I really like MSFT stock right now, and as a disclosure, I'm long in it. It's P/E is half of Apple's, their ROE is higher, their profit margin is far higher, I just think it's a great value. I'm in at $23.50.

As advice to the OP: It's always nice to invest in companies you like, but there is a tendency to be emotional and irrational regarding these companies and that can distort what is essentially a pure numbers game. Sure, there have been thousands of investors who have bought Macs and thought, "the industry will be 70% macs in 5 years, they're just too good!" but it doesn't happen. Sure, if they bought stock in the last five years they've probably done pretty well, but I only mention this to let you know that being emotional or overly optimistic will get you in trouble in the market.

EDIT: That being said, I think this quarter is going to be huge.

 

[AppleFanB]

Thank you for your answer Badandy.

 

[foidulus]

Call me a skeptic, but I just don't see the value of AAPL rising that much more. The expectations on growth are absolutely ludicrous, and even though they've been met and exceeded, the first sign of falter will send the stock tumbling. I had AAPL at a lower price a while ago and sold for a nice profit, but I just really doubt the high valuation. If someone wants to run numbers on how a Verizon iPhone would impact their NI and EPS, I'd love to see that, but at a market cap of $268 billion, how much higher can it go? I really like MSFT stock right now, and as a disclosure, I'm long in it. It's P/E is half of Apple's, their ROE is higher, their profit margin is far higher, I just think it's a great value. I'm in at $23.50.

As advice to the OP: It's always nice to invest in companies you like, but there is a tendency to be emotional and irrational regarding these companies and that can distort what is essentially a pure numbers game. Sure, there have been thousands of investors who have bought Macs and thought, "the industry will be 70% macs in 5 years, they're just too good!" but it doesn't happen. Sure, if they bought stock in the last five years they've probably done pretty well, but I only mention this to let you know that being emotional or overly optimistic will get you in trouble in the market.

EDIT: That being said, I think this quarter is going to be huge.

I would avoid msft until they give Ballmer the boot. That man is one of the worst CEOs in the tech industry and he shows absolutely 0 signs that he has learned the slightest things from any of his mistakes. He lacks both vision and managerial skill. The only thing he seems. T o b e adept at is frat boy antics, but I could hire a real frat boy. For a lot less than he makes.

 

[lsvtecjohn3]

Call me a skeptic, but I just don't see the value of AAPL rising that much more. The expectations on growth are absolutely ludicrous, and even though they've been met and exceeded, the first sign of falter will send the stock tumbling. I had AAPL at a lower price a while ago and sold for a nice profit, but I just really doubt the high valuation. If someone wants to run numbers on how a Verizon iPhone would impact their NI and EPS, I'd love to see that, but at a market cap of $268 billion, how much higher can it go? I really like MSFT stock right now, and as a disclosure, I'm long in it. It's P/E is half of Apple's, their ROE is higher, their profit margin is far higher, I just think it's a great value. I'm in at $23.50.

As advice to the OP: It's always nice to invest in companies you like, but there is a tendency to be emotional and irrational regarding these companies and that can distort what is essentially a pure numbers game. Sure, there have been thousands of investors who have bought Macs and thought, "the industry will be 70% macs in 5 years, they're just too good!" but it doesn't happen. Sure, if they bought stock in the last five years they've probably done pretty well, but I only mention this to let you know that being emotional or overly optimistic will get you in trouble in the market.

EDIT: That being said, I think this quarter is going to be huge.

Not to sound like a dick but buying MS would be a major FAIL. MS stock hasn't done anything in the last 10 years and APPL stock just keeps growing.

Apple has no sign of slowing down at all right now. Analyst are predicting over 4 million Macs sold(record) 11 million iPhones sold(record) 4.5 million iPad and then you have the iPod around 12 million. What nobody really talking about is iAds that's going to bring in a lot of money for Apple. Analyst are saying iAds are going to produce half the money for mobile devices by the end of this year.

IMO the TS should buy now. Apple stock is going to go down over the next week. It always does before they release the quarter numbers.

 

[Winni]

Anyway, my question is, should one invest before their upcoming October 18th earnings release or wait for a few more weeks before the holiday season.

If you need to ask such a question, then maybe you should not play with stocks at all - you sound like one of those people who mistake the stock market for a roulette table.

"Was ist ein Spekulant? Ein Mann, der ohne einen Pfennig in der Tasche Austern bestellt, in der Hoffnung, mit der darin gefundenen Perle zahlen zu können."
- André Kostolany

 

[fcortese]

I bought when the stock recently dipped at the rumor of Tim Cook leaving. It's gone up nicely since but, as with a lot of stocks, will bounce up and down. I'll stick it out for the long haul.

 

[iJon]

Call me a skeptic, but I just don't see the value of AAPL rising that much more. The expectations on growth are absolutely ludicrous, and even though they've been met and exceeded, the first sign of falter will send the stock tumbling. I had AAPL at a lower price a while ago and sold for a nice profit, but I just really doubt the high valuation. If someone wants to run numbers on how a Verizon iPhone would impact their NI and EPS, I'd love to see that, but at a market cap of $268 billion, how much higher can it go? I really like MSFT stock right now, and as a disclosure, I'm long in it. It's P/E is half of Apple's, their ROE is higher, their profit margin is far higher, I just think it's a great value. I'm in at $23.50.

As advice to the OP: It's always nice to invest in companies you like, but there is a tendency to be emotional and irrational regarding these companies and that can distort what is essentially a pure numbers game. Sure, there have been thousands of investors who have bought Macs and thought, "the industry will be 70% macs in 5 years, they're just too good!" but it doesn't happen. Sure, if they bought stock in the last five years they've probably done pretty well, but I only mention this to let you know that being emotional or overly optimistic will get you in trouble in the market.

EDIT: That being said, I think this quarter is going to be huge.

Yawn...

People have been saying this stuff for so many years now. No one ever thought it would go to 100, or 200 or even 300. Apple is a very big fish in an ocean and there is lots of room for growth. Mac, iPhone and iPad sales are increasing. This also is factoring in all the new stuff Apple will be coming out with.

I have my shares so I really don't care what someone else does with their portfolio but you'd be a fool to sit her like the people of the past and say "how much higher will it go."

 

[KingYaba]

$300 and something. Are you buying or selling right now, OP?

 

[arnop]

I really should've bought AAPL stocks in 2001 - 2002 when I bought my first iMac. Never had a doubt that Apple would become huge when they introduced the iPod, iMac, Itunes Store... Today, you have to keep in mind that Apple has a huge capacity to make incredibly good products and make profit on these. As someone said earlier, not a soul on earth would have thought that AAPL would be @ $300/share. In my opinion, I don't see any reasons why one shouldn't buy AAPL stocks, I'm sure they've got amazing products in the pipeline and their profit is huge today....

 

[kingsal]

Buy 50% of your position now. Then let Apple report. Then buy the rest. Either the stock goes down and you get to get in it at a lower price or the position you bought increases in value. Win-win.

 

[macfan881]

I personally see apple hitting 400 if they do well tuesday announce nice hardware and a good preview of 10.7 and the earning reports the end of the month this could be a huge month for apple stock. heck they went up 12$ on friday.

 

[Rodimus Prime]

You have to remember at $300 AAPL going up $5 is very little. Compared to other stocks in terms of percentage moves AAPL is not that big. People think it is huge but really if you watch it AAPL rate of climb as been decreasing not increasing.