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


To: rnsmth who wrote (147660)1/4/2013 10:55:44 AM
From: slacker7112 Recommendations  Respond to of 213177
 
When Apple has a trailing twelve month P/E of 12.5 or less, buy it. If you want to trade, sell it when the ttm P/E is 14 or higher. Rinse and repeat.

That will work until one day it doesnt work and nobody will ring a bell telling us when the time is to change strategies.

You are right that it doesnt matter whether Apple ships 49.5 or 51 million iPhones this quarter. OTOH, it the delta is something like 45 versus 53 million then I would argue that those two numbers are telling very different stories about the iPhone's current position in the market.

Of course, none of this has much to do with my previous statement that current earnings are driven by the iPhone. I think the iPhone was up to something like 60% of Apple total gross profit. I doubt that declines in FY 2013.

Slacker