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re: Apple Earnings Report

Posted on 4/27/16 at 9:22 am to
Posted by Ole War Skule
North Shore
Member since Sep 2003
3409 posts
Posted on 4/27/16 at 9:22 am to
quote:

Stock has returned ~25% since then including dividends.



"Past Performance is Not Necessarily Indicative of Future Results"

...and I was buying in 2012, but the Apple world was very, very different then. As my earlier graph showed, they were still growing. They no longer are. I am in no way saying the company is 'dead', but they are nowhere close to the growth machine they were 4-10 years ago.

I'm not bashing the company or stock, I just don't believe there is as much potential for growth as there is for stagnation.

* products are only average now, nothing 'special'
* people are tired of forking out $600 every 2 years
* watch not doing much
* no innovation in a decade
* western markets somewhat saturated, certainly much more so than in 12
* China sales plummeting with much more serious competition coming

I 'want' to find a reason to buy, so if you've got some specific reasons why the sales decline/stagnation will not continue, I'm all ears.
Posted by Shepherd88
Member since Dec 2013
4607 posts
Posted on 4/27/16 at 11:35 am to
I understand your points and not arguing with you either or defending apple. I'm just a playing devils advocate here for the most part bc I think a lot of people get very short sighted on investing.

Having said that I think the smartphone market is not completely saturated in the US quite yet. I am optimistic on the emerging economies, so I'm a bit contrarian in my thoughts here. Not just China, but you have India and Brazil that are big markets for smartphone technology.

I am an owner of the Iwatch and I think the gen1 version may have been a bit of a miss on expectations for the consumer, BUT the the technology has been put in place with this watch for major advances to come. Just think about this, this watch can already monitor a lot of your health data and it's clearly got advancement ahead. What if when your health insurance company will want access to that data on an ongoing basis... I think that's a huge market to come.

ETA: as I finished posting this, I get an email from my healthcare provider, Blue Cross, where I can now schedule a doctor apt via an app and communicate through that app (LiveHealth Online). So I now never have to go to a dr's office.
This post was edited on 4/27/16 at 12:12 pm
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