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Technology Stocks : Apple Inc.
AAPL 259.35+0.1%Jan 9 9:30 AM EST

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To: sandeep who wrote (137155)7/6/2012 10:17:03 AM
From: Kelly G.4 Recommendations  Read Replies (1) of 213182
 
So, their biz model allows for razor thin margins but apple's doesn't.
How do you figure that? You can have lower margins if you have higher volume. However, Apple currently has a higher Revenue Growth Rate than Amazon (it would be hard to compare units or such). A higher growth rate usually justifies a higher PE. In this comparison, though, if you apply Amazon's PE to Apple, you get a stock price of nearly $8000 per share.

Look at the real numbers and you will see that Apple's are simply gorgeous. Look at Amazon's and I see a train wreck waiting to happen.
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