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

To: Keith Feral who wrote (148974)	1/23/2013 7:15:28 PM
From: NAG1	1 Recommendation Respond to of 213176

Keith, Apple toned down expectations but that didn't stop the analysts from keeping with their present models for revenue and earnings for the past quarter. I saw lots of stuff written about lower price targets but nobody really significantly reduced their estimates for earnings and revenues. On top of that, you have the independent analysts that guided even higher, again increasing expectations. I think another part of the problem is the share price for Apple. Because Apple has been priced at 450-700 dollars this past year, maybe there are some that feel that Apple is priced for perfection just because of its price, not related to any of the other parameters we use to value a stock and that has caused part of the perception problem here. I thought the results were good. It would have been nice to hit 50 million iPhones and that may have mitigated some of the fear. I think Apple's new supposedly reality based guidance, not sandbagging it, is being done to hold expectations in line but is only about 10% higher on revenues at the high end of the range over the same quarter last year without any guidance on earnings and that may be the real reason why we are seeing a run to the exits in the after hour trading. Still, when I look at a company to value it, I think Apple is still undervalued, especially where it is right now. If it gets to cleans price point of 425, it will trading at just 3 times cash on hand. That seems a bit low to me on a company that is making money as fast as Apple is. Neal