Search Blog
  • Alan Fustey
  • Arthur Salzer
  • Becky Wong
  • Bert Griffin
  • Blair MacDougall
  • Blake Goldring
  • Brett Baughman
  • Camillo Lento
  • Chris Delaney
  • Cynthia Kett
  • Darren Long
  • Desmond Jordan
  • Don Shaughnessy
  • Doug Lamb
  • Ed Olkovich
  • Eva Sachs
  • Evelyn Jacks
  • Gail Bebee
  • Gerald Trites
  • Gordon Brock
  • Guy Conger
  • Guy Ward
  • Heather Phillips
  • Ian Burns
  • Ian R. Whiting
  • Ian Telfer
  • Jack Comeau
  • James Dean
  • James West
  • Jeffrey Lipton Fairmont Gloucester
  • Jim Ruta
  • Jim Yih
  • Joe White
  • Jonathan Chevreau
  • Kenneth Eng
  • Larry Weltman
  • Malvin Spooner
  • Mark Borkowski
  • Marty Gunderson
  • Michael Kavanagh
  • Monty Loree
  • Nick Papapanos
  • Norma Walton
  • Pat Bolland
  • Patrick O’Meara
  • Paul Brent
  • Paul Mascard
  • Peter Deeb
  • Peter Lantos
  • Riaz Mamdani
  • Richard Crenian
  • Richard Warke
  • Rick Atkinson
  • Rob Peers
  • Robert Bird
  • Robert Gignac
  • Sam Albanese
  • Sam Mizrahi
  • Stephane Ruah
  • Steve Nyvik
  • Steve Selengut
  • Tammy Johnston
  • Terry Cutler
  • Trade With Kavan
  • Trevor Parry
  • Trindent Consulting
  • Wayne Wile
  • Categories
    February 2013
    M T W T F S S
    « Jan   Mar »


    Analysts are worng about Apple

    Guy Conger

    I normally don’t recommend tech stocks to investors. I have found them to be too volatile for a value investor like me. However in the case of Apple (AAPL) and its recent fall from grace I am making a big exception. I think the analysts who monitor Apple are dead wrong in giving it a sell rating. The stock price has dropped from $700 a share to (as I write this article) $444.76 a share. Why has this happened? Because the analysts feel without Steve Jobs (Apple’s creative genius) the company has nowhere to go but down as more and more i-phone knockoffs hit the marketplace thereby shrinking Apple’s margins.

    I disagree, I’m pretty sure the current management team at Apple knows they must maintain the innovative edge they have had over the past decade. I’m also pretty sure that with the $137 billion in cash and marketable securities Apple has at its disposal they will be able to maintain their innovation advantage.
    Here are some key statistics to help support my opinion:
    PE Ratio 10.07
    Return on Assets 20.58%
    Return on Equity 38.41%
    Profit Margin 25.35%
    Free Cash Flow 34.38 Billion
    Dividend Yield 2.30%
    EPS 44.11

    The MONEY® Network