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

To: Richard J. Byrd who wrote (8145)	2/3/1998 1:24:00 AM
From: Marc Newman	Read Replies (2) \| Respond to of 213173

But Dick, couldn't it be said that AAPL wants to break 20 right now, not retrace back to 13? It tried to pierce 20 last week but was stuck 1/4 pt. shy. I read the tape the past few days this way--the stock wants to go up but Power shares hitting the market (and fear of same) has kept us down. But as Phil says, look how we started up again once the heavy selling stopped late this afternoon. History pretty much repeated itself with the double bottom and the suprise positive MacWorld announcement. But I'm looking for AAPL to break into a whole new game soon. The newer, more profitable Apple means that the stock won't necessarily trade like it did while losing tons of money in 1996 and 1997. I see expenses being cut rapidly, even from last quarter's surprisingly low expenses. O'Grady's PowerPage reports that the recent cuts hit the PB dept. hard and that overall the job cuts were deeper than the little MacWeek article indicated. Then look at the Best Buy, Circuit City, Sears, etc. deal. I bet Apple spent as much on sales reps and paperwork as they made from their puny sales on low-margin systems. If Best Buy was only doing $4.2 million in Mac business a year, can we extrapolate that all these national retailers besides CompUSA were only doing $50 million or so a year? If so, then project only $10 million in gross profit from them. Take away all the associated expenses from supplying those accounts. Not sure it amounts to much, especially for a $6.5 billion co. Anyone want to jump in here? Marc