Hardly a secret that it has been falling. Apple at $527.68.Today and yesterday mark the lowest price-to-trailing-four-quarters ratio in 10 years, under 12x.Never invest based on a narrative, but mine for a while has beenthat Q3 would be weak because so many people waited for the iPhone 5which didn't ship till the start of Q4. But with the iPhone 5 andthe iPad mini, and the usual Q4 spike, Q4 should knock out the lights.When that gets announced early next year we might see very much higher share prices.This sort of short term nonsense doesn't affect the real value of thefirm at all, but many people do trade on such short term changes.For those needing an extra margin of safety, April puts expire after that earnings announcement.As a random example, at the money $530s are bid $48.45, for a nice round 10.0% revenue on cash committed in 154 days. So, either you make 24%/year annual rate on your money or you get the Apple shares at a net entry cost of $481.50,probably about 9.5 times what the run rate of EPS will be at that time.Not really my favourite firm in the world as I have no idea what theywill look like in 5-10 years, but they do make rather a lot of money and the shares aren't exactly "priced for perfection".Jim
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