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

To: RX4PROFIT who wrote (20830)	11/17/1998 6:38:00 PM
From: soup	Read Replies (1) \| Respond to of 213177

Free Advice on AAPL. Actually, I'm thinking of changing my handle from "soup" to "free advice" before someone else gets the idea. :) Evil money managers seem to be having their way at pinning AAPL below $35 till option expiration on Friday. Motivation? Take a look at the open interest on Nov calls to see how much money they're saving by having all those $35+ calls expire worthless. cboe.pcquote.com My free advice is that we're living in times of not-much-reward for a-lot-of-risk. Prominent US fund managers - Fidelity's Stansky yesterday and Montgomery's Roger Honour today -- are predicting single digit growth for the foreseeable future: bloomberg.com I still think AAPL's a 1) fine company and 2) reasonably priced stock. I just think it's get-rich-slow idea vs. a get-rich-quick one. [I don't know about Robert Morgan's prediction about AAPL hitting $50 in Jan 1999, but assuming it takes till Jan 2000 -- that's still a 44% (!) return in a low return environment.] So buy the stock - or play long-term LEAPS for the leverage - $30 Jan 2001 calls can be had for $13 5/8 (making $44 your break-even price after over a two year horizon.) Short-term plays, in as volatile an environment as we're in now, are scary. They also distort your perspective on what, may be a jump-ball short-term but, is basically a good long-term play. [Let's see, those Jan $35s, at 3 5/8 with MacWorld and Q1 earnings coming up, look like awful tasty jail-bait. Woo Hoo!!]