Apple Scam Being Repeated With Facebook
In 2012, Apple Inc. (NASDAQ:AAPL) saw countless upgrades when the stock was trading at $700 a share. The stock never went higher and has since collapsed as low as $387.00 before stabilizing in the $500 range. This shameful action by analysts should be a learning experience for all investors. The lesson? Always be skeptical of upgrades at all-time highs or downgrades at all-time lows. Most analysts are no better than an average investor and often times can have ulterior motives.
History appears to be repeating itself again. Facebook Inc (NASDAQ:FB) has seen multiple upgrades in recent weeks including yesterday, when UBS upgraded the stock to a $90 price target. Sound familiar? In 2012, when Apple was trading at $700, it saw upgrades to $1000 price targets and beyond. Be aware of this as it may be telling us of a long term top on the stock.