Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Apple Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Moonray who wrote (147594)	1/3/2013 2:38:15 PM
From: Stock Puppy	2 Recommendations Respond to of 213173

:-) “If the company grew at the same pace it did over the last five years for the next five years, its revenues would be $1.2 trillion (yes, trillion), or nearly the size of Australia’s GDP.” Oh, so Apple is not interested in Norway anymore - it's looking to be buying Australia? Oh good - Australian English accent is much more fun. No fun umlauts though. Plus I think Australia is a bit bigger, more things to do there when on holiday.

To: Moonray who wrote (147594)	1/3/2013 3:13:05 PM
From: Kelly G.	1 Recommendation Read Replies (3) \| Respond to of 213173

Apple is up against the law of large numbers, writes Sacconaghi, as “If the company grew at the same pace it did over the last five years for the next five years, its revenues would be $1.2 trillion (yes, trillion), or nearly the size of Australia’s GDP.” I do think that this concept weighs on the stock price. But, I also think I will be able to sell my Apple shares above $800. The concept can be looked at from different directions. First, Apple still has plenty of room to grown in their major areas of activity. And, there is no doubt that they will continue to come up with entirely new categories (HDTV, Smartwatch, etc.). So, it almost seems impossible for the E of the P/E NOT to grow. The P/E is already low at 12. Either the stock price HAS to go up or the P/E gets to some crazy low numbers. Another way to look at Apple is to break out the revenue categories and evaluate them as separate businesses and assign a valuation. Then, you add a new category and that has to be added as well. It will definitely be more and more of a tug of war between the market cap the P/E in the future.