This Market, particularly APPL, is kinda soft, it's not making sense to this grasshopper why APPL has been slipping the last several days...Not terribly alarmed, but I'm wondering if anyone has seen some sort of reasoning on why... Why?
Hopefully it will pick up some after the news of EV deal between Foxconn and Fisker
This Market, particularly APPL, is kinda soft, it's not making sense to this grasshopper why APPL has been slipping the last several days.....I could come up with many analogies...fishing rods would work, with "fast action" rods able to snap back quickly, but not load as deeply to throw baits a long way, as opposed to "moderate action" rods that bend more freely and further into the length of the rod...they snap back more slowly but can cast a lure a mile....Apple is a moderate action rod....but seeing that there likely aren't too many fishermen on these boards on avaerage, perhaps a boat analogy might be better....some boats are small and reactive, turn to starboard and the boat jumps and carves around a bend, turn back to port and the boat immediately rolls over and turns left....Apple is a giant boat...it takes more time to turn, and reactions are slower, but at the same time you wouldn't want to run into a little boat with your giant one, as you wouldn't even notice....smaller stocks, with smaller floats are more reactive to price movements, heck even The Fool can rapidly move tinier stocks with a recommendation....if The Fool were to re-recommend AAPL, the stock wouldn't budge....Apple will turn around and begin it's trek higher at some point, and when it does it will carry its weight with it....patience..
I know, patience, thanks for a tad of stability, some of my interest, concern is likely just the loads of turmoil in may, and many others past year, mostly going well, but it's all a rocky road.. I didn't see and particular event the brough this about... patience!
It isn't even Friday! 8-)
Yes, not Friday, ad still floppy even after hours and high volumes... https://finance.yahoo.com/quote/AAPL?ltr=1
It's not uncommon for AAPL to face a month or more of notable declines. Looking at the current 2 year chart, thre was a big on in the February 2020 time frame and another in September 2020, both of which were steeper than the current decline. I don't remember AAPL-specific news those times, and I don't see anything now. Some technical indicators I watch seem to indicate we haven't hit bottom on AAPL yet.It makes me wonder what happened to that big purchase of AAPL March 19 135 calls about three weeks ago. Does the purchaser still think AAPL will go above $142 by March 19?-awlabrador
It's a 34 PE ratio stock at current pricing. For an absolutely massive company with medium-term sales growth of between 2.3% (5-yr) & 6.2% (3-yr) a year and potentially facing market saturation issues (deployment of smartphones throughout the world's population is mostly done now) & net income growth less than that ... it doesn't seem a real value play. EPS growth is (substantially) higher than sales & income growth, however EPS growth *should* be somewhat discounted as AAPL is only a poor capital deployment decision (for example actually building an Apple Car using Apple's capital because regular car companies won't) away from removing that advantage. Mr. Cook's hints about increased dividend payouts are a good sign, although AAPL's current dividend is hardly generous.So AAPL at current prices doesn't appear particularly lowly priced, it could even be expensive. It's definitely not the deal it was a year ago (at about 1/2 the price) for example and while this quarters' sales trends appear 'good' it's not a given that this will remain throughout the rest of the year (is there an iPhone 5G bump for example, resulting in a iPhone 13 sales reduction). So overall a correction from recent highs shouldn't be much of a surprise.(Note: All figures from AAII's SI-Pro database.)
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