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

To: 16yearcycle who wrote (165602)	2/7/2014 2:43:34 PM
From: Ryan Bartholomew	Respond to of 213177

Earnings estimates are going to rise with nearly 100% certainty. The buyback impact having a positive impact on earnings is 100% certainty. However, so is the loss of cash. It's a wash from that perspective, when executed. They are merely swapping cash for stock. Going forward, what matters is how the stock performs from the time it was bought back. In these first few days, obviously well. But if it declined to, say, 470, then the downside impact gets magnified. Your thoughts on the increase to $50+/share earnings intrigue me. Would you share specifics on how you think that will be achieved, apart from the buyback? Do you think the iWatch will lead to a huge jump in total revenue, or do you see it coming more from the iPhone, etc.? Thanks.

To: 16yearcycle who wrote (165602)	2/7/2014 2:45:16 PM
From: pyslent	Read Replies (1) \| Respond to of 213177

"The buyback alone would cause estimates to rise 3% from 43.50ish to 44.80 ish. " I think the $43.50 eps consensus for 2013 already accounts for the expected buyback (amid nearly flat total earnings). We will have to wait a few months to see if this recent buy represents merely an acceleration of the buyback program to an increase in the buyback program.

To: 16yearcycle who wrote (165602)	2/7/2014 3:25:27 PM
From: MGV	1 Recommendation Recommended By Moonray Respond to of 213177

The best news is that expectations are so low that you only have to be 25% right for the share price to have a significant move up.

To: 16yearcycle who wrote (165602)	2/7/2014 10:43:56 PM
From: 16yearcycle	Respond to of 213177

"The size of Apple's buyback will meaningfully adjust key valuation metrics, such as estimates on its first-quarter earnings, which were expected to rise to $10.48 a share from $10.15 a share as a result of a 3 percent reduction in the float, according to Greg Harrison, senior research analyst at Thomson Reuters" This is the same basic math I used. I have no idea where anyone is getting 50 cents for the year from. Maybe they meant this quarter, but that is too aggressive. I say 1.30.