Thoughts on shorting apple?

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there are a ton of disappointed people

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I just don't know if this correlates with sales. The apple sheep will buy anything they put out.

the sales are already weak, apple has been declining for a while, the bg problem is that $200b+ cash pile you can artificially run a stock price wild with buybacks, read about AZO buybacks, the stocks been trash forever and its like $800/share now bc of constant buyback after buyback. I hate apple's market cap but you cant deny their financial position

Makes sense. Thanks for the input.

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$200b+ cash pile

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It's something a lot of people are fascinated by. Someone mentioned that AAPL could use it to buy the NFL, NBA, MLB, and NHL and still have cash left over. But technically, it's not true. AAPL has ~$275 billion in liquid assets. It's a pile that can be quickly turned into cash. And of that pile, about 91% of it is overseas and subject to repatriation taxes for it to come back to the US. AAPL doesn't want to pay that tax, so it sits in marketable securities (i.e. bonds) to earn a little money. Interestingly, I also read that AAPL's debt increased faster than the liquid asset pile. Supposedly, they're issuing debt to engage in share buybacks and to issue dividends. I suppose it makes sense to do so, but I'm not a fan of such actions.

Last week, Bloomberg reported that AAPL is also giving up on building a car and are instead building a car operating system. It's something I mentioned that they should do instead of completely building a car from the ground up. This plays to their strengths better: software and perhaps hardware. If I had to guess, I would think that the Android vs Apple battle will expand into the automobile industry, and you'll be able to choose whichever operating system you prefer in your new vehicle. But who knows exactly how things will play out.

As far as technicals go, I was neutral on AAPL, but a couple of days ago, my primary indicator gave a sell signal. So it may be worthwhile to put on a short, but I'd suggest buying some puts with a 6 month expiration or so, and only buy as much as you're willing to lose. Good luck with whatever action you take.

Was talking last night with someone about Apple's cash and how a big portion of it is stored abroad particularly in Ireland. It really would be tough for them to liquidate its cash pile due to the heavy tax implications.

I don't think people being disappointed over their latest laptop offering will make much of a dent on a half trillion dollar company. The Laptop and personal computer market has been slowing down for years, and not just for apple. iPhone and all things mobile computing related are what moves the needle.

Short term there's a strong trend line pointing towards $124ish if support holds at $112ish. I wouldn't go short until that trend line is broken. Maybe enter at $109

Bought puts.


Edited: not yesterday.