Your statement that "I can't see any reasons Apple would be a good investment now except the buyback and the dividend, and the cheap price" seems to discount your last reason – the cheap price. That is, in my view, the very reason an investor might want to buy the shares near $90. My assumption, however, is tied to the notion that Apple will introduce a new model smartphone this year (not next year) that provides a substantial improvement over the 6 and 6s models, and for that matter, the new SE.
I've often noted that Apple displays an attitude that reminds me of the haughty attitude of car salesmen working for the old Pierce–Arrow company back in the 1920s. During that period, the Pierce Arrow was considered absolutely the best luxury car you could buy – much better than any European cars, and better than Packard and Cadillac. As my father used to tell me, you could never get a Pierce Arrow at a discount. If you went into a dealership and didn't want to accept their terms, they would tell you that you'd be back, because their car was so superior. So people started buying more Cadillacs and Packards. I believe 1935 or 36 was the last year the Pierce Arrow was in production.
One cannot afford to be arrogant in a period when technology changes fast enough to outmode what many thought was the finest product ever.
Art |
