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IBDvalueinvestin (98.33)

AAPL oversold down -$7.28 prior to close.



January 20, 2012 – Comments (4) | RELATED TICKERS: AAPL , DELL.DL , HPQ

Why is AAPL oversold? APPL will not miss estimates 2 straight qtrs.

Anyone buying on weakness today will be rewarded greatly with big gains in 2012.

 AAPL is oversold today on GOOG miss, the funny thing is that GOOG has nothing to do with Apple's revenue stream.


This is my honest opinion, and its up to you on what you should do now.

4 Comments – Post Your Own

#1) On January 20, 2012 at 4:17 PM, IBDvalueinvestin (98.33) wrote:


Earnings Preview: Apple to report fiscal first-quarter results; eyes on iPhone 4S sales

NEW YORK (AP) 1/20/12 -- Apple Inc. on Tuesday will report results for the October to December period, its fiscal first quarter, during which co-founder Steve Jobs died and the technology company started selling the latest version of the iPhone.

WHAT TO WATCH FOR: Analysts are predicting a record-setting quarter for the company after a somewhat disappointing fourth quarter. The iPhone 4S went on sale Oct. 14 in the U.S. and a few other countries, a month or so later than analysts had expected.

The delay in the launch of the latest phone meant that iPhone sales in the July-September quarter, while still strong, were short of expectations. Apple shares fell 5.6 percent the day after the company reported results. But CEO Tim Cook promised the company would be back with a vengeance in the first quarter, and the shares recovered.

The iPhone 4S appears to be another success for Apple. Michael Walkley at Canaccord Genuity estimates that the company sold 30.5 million iPhones and 13 million iPads in the quarter, setting new records.

Apple rarely talks about new products on its earnings conference calls, but analysts will be listening for a hint about Apple's rumored interest in getting into TVs. It's one area of consumer electronics that it's mostly left alone, though it does sell Apple TV boxes that link a set to the iTunes store for movie viewing. Apple watchers are speculating that the Siri voice-command software on the iPhone 4S is a dry run for a voice-command TV set.

Company co-founder Steve Jobs died Oct. 5 after a long battle with cancer.

WHY IT MATTERS: At a valuation of about $393 billion, Apple is the world's second most valuable company, after Exxon Mobil Corp. The iPhone, released in 2007, essentially created the mass consumer smartphone market. The iPad, released in 2010, created a hot new computer category and already has sold about 53 million units.

WHAT'S EXPECTED: Analysts expect earnings of $10.04 per share and revenue of $38.92 billion, according to FactSet.

Apple has said it expects earnings of $9.30 per share and revenue of $37 billion, but it usually lowballs its forecasts, and analysts don't pay much attention to them.

LAST YEAR'S QUARTER: In the same period a year ago, Apple earned $6.43 per share on $26.74 billion in revenue.

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#2) On January 20, 2012 at 4:24 PM, constructive (99.97) wrote:

Reasonably priced? Yes.  But only in the fevered imagination of a the day trader could Apple be called oversold.

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#3) On January 20, 2012 at 4:24 PM, constructive (99.97) wrote:

a or the, take your pick

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#4) On January 23, 2012 at 7:39 AM, IBDvalueinvestin (98.33) wrote:

MegaShort, your too funny..

So your saying a company that keeps providing game changing devices every few years does not deserve a higher multiple than the average stock on wall street?

If this is the case then no company deserves to be trading at a forward PE above 15 with your reasoning.

I am not here to argue about what is fair price, I am here to argue that based on other companies valuation metrics , AAPL shares not only are undervalued, they are dirt cheap..

AAPL going to $600 in 2012. Mark this post..and reply to me on 12/31/2012.

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