Only $300? Should be higher...

Dottore · 10-19-2010, 04:49 PM

Sitting here in a bar in bumfark Idaho, reading emails and surfing Pelican on my iPad, I can't help but think the stock is undervalued. I love this technology!

enzo1 · 10-19-2010, 07:54 PM

Piper Jaffray raised the price target on shares of Apple Inc. (NASDAQ: AAPL) to $429 from $390, and is keeping its Overweight rating, after the company reported much better than expected earnings yesterday.

In a note to clients, Piper Jaffray writes, "While shares of Apple may pull back today (10/19), we would be buyers based on our belief that investors will gain optimism over the next three months that the growth story will continue. We are raising our FY11 revenue growth rate from 24% to 32% and our price target goes from $390 to $429. Key takeaways from the Sept. quarter include: adjusting for iPhone backlog in Sept. (we believe iPhone growth rate went from 61% in June to 114% in Sept).; Apple reported 4.1m iPads sold but we believe the true demand was closer to 4.5m; Street was disappointed with margins but we believe higher volumes are a net positive for the business."

Shares of AAPL are down $15.50 in pre-market trading to $302.50, a loss of 4.87%.

Rich76_911s · Rich76_911s's Garage

A company is only worth the present value of it's future cash flows. P.J. has a 32% revenue growth rate for the next year, what are the projections for the next decade? It's not possible for Apple to grow at this high rate for eternity. When do they project a slowdown in earnings growth?

There is no arguing that Apple has been very innovative and successful at marketing it's products in the recent past. At the same time you can't really argue that all thier product lines are facing stiffer competition today, than they did just a year ago.

My fear is that the projections for apples growth rate over the long term are not being done conservatively. They are being done expecting the company to dominate the technology market for a long time. I'm not saying these expectations are going to be wrong. I'm just saying I would be cautious when the whole world is expecting greatness for such a long timeframe. If history is any indication, when Wall Street starts pricing in perfection for eternity it is usually a good time to be cautious. All market Fads do come to an end, and we can't argue that part of apples success is based on the fact that it's products are "in style."

That said I would, and probably did, say the same thing back when Apple was $200 a share, and analysts were making crazy predictions back then too.

island911 · 08:47 AM

Jobs blasts rivals as iPad sales disappoint | Reuters

You guys who think that tablets are something new --or that Apple has the best one made-- are ill-informed.

edit: but I expect that you have apple stock that you hope holds (and/or gains) value.

Deschodt · 10-20-2010, 09:03 AM

Quote:

Originally Posted by island911

You guys who think that tablets are something new --or that Apple has the best one made-- are ill-informed.

edit: but I expect that you have apple stock that you hope holds (and/or gains) value.

Tablets are indeed not new, the Ipad may or may not be the best made, but you only have to play with it for a few minutes to realize it hits a spot in terms of form factor, size, price and capabilities....for some people. In fact it's that certain lack of capabilities vs. a computer tablet that makes it so simple and practical. My 3y old plays with it all the time, learned his alphabet on it, is currently learning to read with it, and when I want the TV I can fire up toy story on it and have some peace !

There is no need to argue about this. Yes, there are faster, more complete, more capable "computers" out there. This one happens to be immensely practical for some of us, at a good price point with a good set of apps (and mine was paid for thanks to apple haters who did not believe in the product and allowed me to buy in at $200) .

I don't get the Ipad / apple hate threads, if you don't like it don't buy one, it's simple - same goes with Porsches... I like it, my wife likes it, my kid loves it. Nobody's forcing anybody to buy one ;-) Apple is not delivering the best performing machines (except maybe that dodecacore MacPro), they never have, but they consistently deliver a great interface and a polished set of products. Vote with your wallet...

island911 · 10-20-2010, 09:10 AM

Quote:

Originally Posted by Deschodt

T...
I don't get the Ipad / apple hate threads, .....

This isn't an apple hate thread. Quite the contrary; it's an apple LOVE thread. --specifically, a Love APPL stock thread.

You do make it clear, however, you hate anyone who, in the slightest, challenges the supreme awesomeness of APPL. --that's typical protectionism.

btw, I don't actually think that you hate. I just wanted to illustrate how stupid one looks calling people haters.

Deschodt · 10-20-2010, 09:19 AM

Quote:

Originally Posted by island911

You do make it clear, however, you hate anyone who, in the slightest, challenges the supreme awesomeness of APPL. --that's typical protectionism.

Not at all ;-) I was just saying, if you don't like it, don't buy one. Simple.
Start an "apple sucks thread" ;-) I'm not trying to pick a fight with you, I just think it's rude of you to imply (over and over and over) that all apple buyers are semi-retarded because there are better performing products out there...

Some of us idiots are *willing* to sacrifice some of that performance, live in a more constrained environment, or pay more, simply to avoid being pestered by our extended family and friends when it comes to tech support...

I work in software in a non-apple environment, a bunch of my friends do, and most of us buy Apple for home simply because we never get phone calls about fixing them... that is all...

island911 · 10-20-2010, 09:49 AM

Quote:

Originally Posted by Deschodt

.. I just think it's rude of you to imply (over and over and over) that all apple buyers are semi-retarded because there are better performing products out there......

Hey now . . Don't go try to make it seem like I'm saying that " all apple buyers are semi-retarded " . . . clearly I'm saying they are FULLY retarded.

(i kid)

Seriously tho'. You make a good point about the device being suitable for a three year old. --I hadn't considered that angle.

Well then, buy lots and lots more APPL stock, and do NOT pay any attention to any competing products . . .which run full web-sites (Flash sounds complicated and likely in need of tech support). Or have both front and rear facing cameras? (sounds complicated). Certainly wouldn't want a phone in the device. And why have a light device that can fit in one hand, or coat pocket when Apple has a product the size of an Etch-a-sketch?

Actually, I do understand the draw. I've been thoroughly using my old Samsung 7" tablet. ...LED back-lit screen, SSD, make it a great travel computer. the SD slot lets me off-load big camera pict's and vid's with ease. The kickstand set's it nicely on a jet seatback tray... But, at over three years old, it's showing wear, and I'm looking for a replacement.

Maybe this will do...

Superman · 10-20-2010, 09:57 AM

I grew up in Bumfuk Idaho. Actually not metropolitan Bumfuk, sort of the suburbs. I'm a little surprised you're on the Internet there. They've got electricity now?

enzo1 · 10-20-2010, 11:18 AM

iSuppli Ups iPad Forecast as Apple

island911 · 10-20-2010, 11:39 AM

yup, getting on board with Verizon was smart. Too bad (for APPL) they didn't pick Verizon for the iPhone.

Also, kudos to apple for getting early announcement with Verizon. ...Verizon is touting the introduction of the Verizon iPod ..pad on their home-page. --Verizon really never does that. And, no site mention of the coming Samsung tab. (which is actually a phone

too.)

enzo1 · 12:45 PM

Apple - MacBook Air - The next generation of MacBooks. http://richyrich.net/exclusive-verizon-iphone-4-photos/ http://www.apple.com/mac/facetime/ http://www.apple.com/macosx/lion/ http://www.reuters.com/article/idUSN1916569620101020 http://www.suntimes.com/lifestyles/health/2814148,CST-NWS-health19.article

KFC911 · 10-20-2010, 01:05 PM

Quote:

Originally Posted by island911

This isn't an apple hate thread. Quite the contrary; it's an apple LOVE thread....

Don't let Glen fool ya...rumor has it he used to be just "sland911". Ipod, Iphone, Ipad, Island911. Coincidence? ...I think not

! Like I said in our Iphone discussions a few years ago, marketing beats "pure technology" just about everytime. I've never owned an Apple product, but I can thank my niece for opening my eyes to Apple stock many years ago...I'm a copycat

island911 · 10-20-2010, 02:33 PM

d'ho . . . now everyone knows that i'm getting rich off of iRoyalties.

here ya go KC

MysticLlama · 04:24 PM

So I have a hold of a new CTL 2Go Pad..

2go PC Slate

After playing with it for a couple of days, there are definately big pluses and minuses to both the iPad and something like this, and it's really all about what you're going to use it for. Overall right this moment an iPad is a better overall experience if you just want to do what you can do on it.

iPad Wins:
Battery Life
All apps are designed for a tablet, and give up space properly for the on screen keyboard, etc.
Screen switch animations, etc. are far more polished, looks like it's doing something even when you're waiting
Video is a bit better vs the hardware on the 2Go, not really an OS issue though

Win7 Tablet Wins:
I can run anything on it, which does matter around the office
Runs flash (I don't really care, but to some people this is a big deal)
It's Win7 Pro so I can have it on the domain, multiple people can use and get their own docs/email/etc. very hard to share an iPad similarly
Big HDD, lots of memory
Connects seamlessly to all of the network shares, remote machines, printers, scanners, etc. since it's a PC

Windows 7 is a huge improvement for a touch device over Vista and especially over XP. XP tablets were difficult without a stylus, this isn't half bad, the on screen keyboard is actually really good, equal to the one on the iPad other than it is on top of stuff sometimes because the apps aren't made for it. Also, once you fire up Office 2007/2010 on a touch device you see really how important switching to the ribbon and moving away from all the nested menus was. Microsoft has been slowly marching in this direction for a long time, it's not a bunch of last minute hacks like the tablet pack for XP.

Maybe we need a tablet thread for the bashing to continue in both directions?

mca · 10-20-2010, 04:32 PM

Unfortunately the Samsung Tab will be priced at $599 with 3G -announed today.

If it was priced at $350 I think it would be able to compete with the ipad.