Having some extra cash in an account I decided to buy a few shares of AAPL. I’m not a rich guy, but I have confidence that the stock will do fairly well in the coming weeks. So spotting an opportunity, I jumped when AAPL stocks dipped this past week.
Being a novice at stocks in general. I have to say Google Finance does a fairly good job of organizing real time information. I’m not using any comprehensive investment tools, just word of mouth and a lot of research and some wishful “hoping” that I don’t get burned too badly. I guess you could say this is just me testing the waters since I’m not investing thousands of $$$ like everyone else.
While browsing some of Google Finance discussion forums, I saw that tensions are tight and people are running for the hills. There appears to be a lot of doubt on everyone’s mind as to whether or not AAPL will stand to regain ground after July’s release. Here are some of the mentalities I’ve observed in the past 3 days of AAPL plunge.
The Pessimist:
With the health of Steve Jobs uncertain & a minor consensus of investors p.o’ed(pissed off) about the iPhone3G pricing strategy, AAPL stands to plummet even more. Based on some analysts views AAPL stands to lose 3 cents a share this fiscal year.
The Optmist:
Apple is a strong company that will rise from the ashes and return even bigger and better this coming July. There’s no doubt in their minds that Apple will rise victoriously due partly to their infatuation with Apple products and their long standing knowledge stemming from past experiences. Someone graciously shared their chart analysis, indicating that the dip was eminent before the great climb back up.
The Ambivalent:
Just hopped on the train and is now doubting the return of 200+ share prices. Not certain if they should sell and part with some minor loss or possibly stay and see this plan through. Over the past few days of observation, many are now uncertain as to whether they are willing to commit to the July(and possibly longer) outcome.
Where do I stand?
Probably somewhere amongst the ambivalent and the optimists. And here’s why.
I’ve personally stood amongst the exclusively PC crowd for some time. I don’t mean using just Microsoft products, but have also experimented with Linux and other Operating Systems that eventually turned towards the way of vaporware. It wasn’t until last year that I decided to try out Apple’s MacOS(I bought a MacBook). I found it to be very flexible and while there’s no operating system in the world that is secure, Linux(and the underlying OS of Mac is BSD) have shown themselves to be quite proficient and secure. But the real reason I went out and bought a MacBook was because of it’s easy integration with it’s products(I bought an iPod Touch aka iTouch).
Like many others, I was hesitant on spending a bulk of my money on a phone + the high prices of average cellular service so I went with an iTouch instead. I had done my research and knew that iTouch & iPhone was virtually the same device minus certain features(EDGE & Phone capabilities). I’ve since been using my iTouch on a daily basis and experimented with several different available applications, all great & free!
Why am I talking about my iTouch experiences? Well it was what led to my purchase of a MacBook and is also the reason behind me considering an iPhone3G. Apple products has a tendency to grow on people, I’d venture to say it has an addicting personality. Once I played with the MacBook I was instantly seeking to alter my Window’s OS to do certain traits only available stock on a Mac. This is also why, I think Apple will perform fairly well in the weeks to come. I’m almost certain that the iPhone3G will be used to evangelize more PC users towards the Mac side.
One has to keep in mind that at the WWDC(World Wide Developers Conference) this year, wasn’t just about the iPhone3G announcement, it was the introduction of a slew of products, features, functions, upgrades, updates, etc… The MacOS has a new inception known as codename Snow Leopard, Firmware 2.0 is going to be introduced, Third-Party Vendors introduced, etc…
Regardless of Steve Job’s health(not to be taken lightly, I certainly hopes he gets well soon) status, Apple’s winning formula thus far has been doing pretty well for its investors, it’s success does not rest on the CEO exclusively. While the currently support structure for his departure is shaky at best, there’s no indication that the company will crumble without him. Apple’s foundation was built on simplicity and appeal not the health of an innovative CEO. Bare in mind that the programmers, testers, qa, etc… all played a vital role in Apple’s rise to the top.
Here’s a great site for Apple Investor News: http://www.appleinvestornews.com/
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A wise investment. Apple earnings will be though the roof this year. Expect 250-300 by year end. Assuming oil prices stablilize you’ll begin to see a rise to 190-200 within next 3 weeks as July earnings announcement come up.
I’m certainly hoping for the best having experienced what may possibly have been the worst(of it) from the past week. Thanks for commenting.