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AAPL Surging Following Extremely Positive Analyst Comments

Apple's stock price has surged nearly 6 percent today following extremely bullish comments from Topeka's Brian White. White feels that the recent drop off in Apple's stock price has little to do with the fundamentals of the company and that the stock is ready for significant growth.

aapl
In our view, the sell off in Apple's stock over the past eight weeks has gotten to the point of being "insanely insane" given the depressed valuation (CY13 P/E of 7.6x ex-cash), new blockbuster products for the holiday season, the attractive long-term growth opportunities that lie ahead and the Company's ability to distribute significant cash flow to investors. Those investors that have missed Apple or have been under-weight the stock, now have another opportunity to buy Apple before sentiment takes a turn for the positive during what has historically been the strongest quarter of the year for the stock.
Apple's stock price broke through the $700 barrier for the first time back in September but had been on a significant slide since then.

Update: Apple ended the day up $38/share, or more than 7 percent, closing at $565.

Top Rated Comments

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27 months ago
In my opinion, many of these "analysts" should be investigated by the SEC. After Apple's earnings call, it was all doom-and-gloom. Now that it appears they've pushed the stock down as low as it will go, they're all "best stock EVAH!" again. They all dumped at $700, spread bad news, now they're reversing course. Bringing the stock back up should be a far easier task than crushing it for them, considering just how insanely great Apple's earnings continue to be.
Rating: 40 Votes
27 months ago
I remember when I bought stock at $16 a share. Best decision I ever made.
Rating: 16 Votes
27 months ago
proving once again that the stock market is total ********
Rating: 9 Votes
27 months ago
AC/DC just released their catalog to iTunes.
Rating: 8 Votes
27 months ago
Phew. I'm glad. I was really getting worried $500 billion market cap wasn't going to be enough to keep the doors open through 2013.
Rating: 8 Votes
27 months ago
Well, if that's all it takes to add 31 dollars to the price, he should just call 4-5 more buddies to also post some "very positive comments" to run it right back to $700... or maybe 7-8 buddies could write some positive things to run it to $800.

Better yet, why not just deem the Apple faithful on this site as "analysts" and the stock price could run to the moon.
Rating: 7 Votes
27 months ago

I remember when I bought stock at $16 a share. Best decision I ever made.


I missed the $16 price point, but got in at $20 :) (true).
Rating: 6 Votes
27 months ago

I missed the $16 price point, but got in at $20 :) (true).


I hate you....respectfully. :)
Rating: 6 Votes
27 months ago

I remember when I bought stock at $16 a share. Best decision I ever made.


I remember thinking about buying at $16 a share. The G5 had just come out, and I thought it would turn things around for Apple ("this platform has legs!"). Turns out a little device called the iPod was actually responsible for turning the company around.

In the end, I didn't buy it because I just didn't have enough confidence in the Mac as a platform. C'est la vie.
Rating: 5 Votes
27 months ago

Personally I don't think it's because of Analysts comments by a decent "correction" in the sell off of shares that occurred over the past couple of weeks.

There are analysts posting comments almost on a daily basis.


Agreed... there is something else at work here. If this analysts comments drove the stock up that much then it is simply because its a signal to other analysts that its time to cash in on their market manipulation of driving the stock down so they could buy it cheap.

Doug Kass did just that (http://tech.fortune.cnn.com/2012/11/09/apple-its-mojo-and-doug-kass/) by posting publicizing his 10 reasons why AAPL was a bad stock to own and then (with 9 of those reasons still being true) reversed course and published his "5 reasons to buy AAPL" and started buying it up. If you don't know who Kass is -- he is the hedge fund manager who said the iPhone 5 "feels like a toy" because it was just "too thin" and "too light".

Just like John Paczkowski says: Apple Investors are still Wusses (http://allthingsd.com/20121117/apple-investors-are-still-wusses/).

The hedge fund managers and analysts know they are wusses. They know they can manipulate the price to their advantage. There is some kind of fear around Apple being like Cinderella, but nobody knows how long it is until midnight. I am 100% certain that one day Apple's growth will slow down to an IBM-like pace. I am 100% certain that one day Apple will be overtaken by a competitor. But I'm pretty darn sure that slow-down and demise will likely take a good 10 to 15 years of time once it starts and will be as slow a demise as Microsoft experienced. Apple may not experience it if they turn into a steady stock like IBM that can live on for decades with ups and downs.

But if Apple is heading for a cliff like Microsoft, it will be a long time before they are facing it. The company grew 45% in revenue last year and 61% in profit. People are seeing the value proposition of going "all Apple". I had a couple I know through some friends tell me on Saturday that they are planning on going the "all Apple" route because they went to Apple store and they could see how well things work together.

Research in Motion faced that same cliff two years ago -- they took a dive right in. Apple may be there (again) some day. They may make a series of mistakes or some competitor may change the whole game when they aren't looking, but it will be preceded by a decade of slow decline rather than a single product release not meeting the expectation of some reviewer or a single analyst declaring that Apple should have made a penny more per share and therefore this is a sign of the end.
Rating: 4 Votes

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