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

To: joe micieli who wrote (7706)	1/15/1998 12:45:00 AM
From: Marc Newman	Read Replies (2) \| Respond to of 213173

Thanks, Joe. If I can dump a few more thoughts on you <<gg>>: The News.com article points out correctly that revenues have historically dropped 25-30% from Dec. to March. However, last March Apple also took in $200 million in Performa overstock so revenue was really $1.8 million, not $1.6. These were revenues that probably were initially counted in Dec., 1996. So one might argue that Apple's revenues last Christmas were $1.9 B, and last Jan-March were $1.8, not a terrible decline at all. Nevertheless, there's something about slipping below $1.5 billion in revenues that scares me a bit. $1.3 billion would freak me out. And it would seem to put the $6.5 billion fiscal year goal in jeopardy. Clone-wise, Anderson may not know how many units Motorola has left but I can't believe it is that many. UMAX might not even be selling them after June. Mactell is only moving 1500 units a month. Finally, the fact that backlogged orders have remained at $200 million is an indication to me that the G3s are in great supply. Usually when Apple announces a hot new product (8600s, anyone?) the backlog is ridiculous. Dealers are learning that they don't need to order 25 computers in the hope to get 5 anymore. Marc (So we beat estimates by 6%? <<grin>>)

To: joe micieli who wrote (7706)	1/15/1998 1:35:00 AM
From: GS_Wall Street	Respond to of 213173

Apple starting to get good mention from a analyst. The tide is starting to shift and yes Apple is still cheap below $20 per share. ""That revelation raised confidence in the earnings. "Lots of people thought the numbers came from smoke and mirrors," said Tim Bajarin, an analyst at Creative Strategies. "But it was a quality earnings statement." Suddenly, there appears to be a "light at the end of the tunnel," he said. But producing a low-priced computer will be critical to Apple's ability to get new customers. In the first quarter, the majority of Apple's sales were to existing Apple computer owners, and the average price of an Apple computer was $2,400. Bajarin said he expects Apple to introduce a low-priced Macintosh, but one that is optimized for Java, a computer language especially suited to network computing. That may distinquish the machine from PCs being offered by competitors, such as Compaq Computer Corp. (CPQ). ""