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Great discussion of Apple, Microsoft and Mac moving into Corp on Kudlow & Co. Fun exchange between Greenberg (RIM fanboy) and Noah Blackstein
Video > HERE
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Analysis of Apple’s 2nd Quarter 2008 Earnings Report & Conference Call >HERE
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Key AAPL Valuation Statistics HERE
Apple Executive Management Biographies by TechStock2000
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Apple to present at GS Technology Investment Symposium on 2/27/2008
Welcome to the audio webcast of Apple’s presentation at Goldman Sachs Technology Investment Symposium.
Speaker: Tim Cook
Date: February 27, 2007
Time: Approximately 12:30 pm PT
QuickTime Player required to hear audio webcast.
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Apple: On The Road (Back) To Respect?
Feb 12, 2008 By Jim Goldman, Silicon Valley Bureau Chief
CNBC.com
Full article > HERE
February 12, 2008 EXCERPT: Apple Inc. as a “value play?” Seems counter-intuitive to think of a company trading at better than 20 times next year’s earnings as a “value,” but maybe–just maybe–the Street is coming around to the idea that the growth and potential of this company seem horribly undervalued. The latest to join the Apple “party” is Citigroup analyst Richard Gardner who put Apple on the firm’s “Top Picks Live” list yesterday, Citi’s top picks of 59 stocks that show the greatest potential for growth. Despite the steep sell-off recently, Citi maintains its $212 target. And because of the steep sell-off, Citi says Apple [AAPL 129.89 0.44 (+0.34%) ] offers enormous value right now.
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Apple Rumor Mill “Abuzz” But I’m Not Buying
Feb 7, 2008 By Jim Goldman
Silicon Valley Bureau Chief
cnbc.com
Important article for Apple [AAPL] investors to read in its entirety > HERE
EXCERPT: “I don’t see any new bad news here backed up by hard data. What I do see are a bunch of skittish investors selling first and asking questions later.
Maybe that’s the new normal on Wall Street, but it seems like missed opportunities will characterize portfolios as much as their red ink. Apple long term is still the best-positioned hardware/software company playing in all things digital entertainment, arguably tech’s most exciting sector. This buy-high/sell-low investor strategy, especially with Apple, makes no sense to me.”
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AAPL statistics and relative valuation - courtesy M Paquette
Based on after hours AAPL price of $119.80 on February 6, 2008
FY2009 EPS (Average analyst): $6.28
Forward P/E = 119.80/6.28 = 19.07
Industry P/E = 16.16
Sector P/E = 16.24
OK, so AAPL still has a P/E a bit higher than the industry or sector.
AAPL growth per annum for next 5 years (analyst estimates) = 21.96%
Industry growth per annum for next 5 years (analyst estimates) = 15.04%
Sector growth per annum for next 5 years (analyst estimates) = 14.62%
AAPL also has a growth rate higher than the industry or sector.
AAPL PEG Ratio = 0.846
Industry PEG Ratio = 1.074
Sector PEG Ratio = 1.111
The AAPL PEG ratio appears to be a bit low. If AAPL made the industry PEG of 1.074…
The AAPL P/E would be 23.59, and share price would be $148.11.
If AAPL made the sector PEG of 1.111…
The AAPL P/E would be 24.40, and the share price would be $153.22.
AAPL appears to be undervalued for the current market conditions for its industry and sector. This suggests that AAPL may be a value play at the current price.
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See > S&P’s Buffett Stock Screen
Apple’s [AAPL] closing price on February 5, 2008 was $129.36 At this price per share, Apple [AAPL] is now a “value play” based on Warren Buffet’s Stock Screen. The screen looks for:
v Owner earnings (cash flow minus capital expenditures) above $50 million
v Net margins of at least 15% for the past 12 months
v At least 15% return on equity in the previous quarter and in each of the past three years
v Retained earnings that have grown less than market capitalization over five years
v Projected cash flow per share above current stock price over next five years
v Market value at or above $500 million
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A new report from the Gartner Research Group predicts that by 2011, Apple will double its U.S. and Western Europe unit market share in computers.
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Steve Jobs e-mail reply to AAPL shareholders (Jan 23):
AppleInsider reports in a private communication last week, Apple CEO Steve Jobs acknowledged the beating his co’s shares have taken during this time of economic uncertainty, but remained confident that investors would again see rewards for their loyalty in the long run.
“Wow… what a remarkable last few days,” he wrote in an email to employees, a copy of which was obtained by AppleInsider. “Our stock is being buffeted around by factors a lot larger than ourselves.” The Apple co-founder expressed sadness for many of the co’s investors who may have seen their investments fall under water, but encouraged those with positions to put the matter into perspective by examining the performance of Apple shares over the past 24 months. As you can see, we have outperformed many other blue-chip tech companies, including Google,” he wrote, tacking on a stock performance comparison chart for illustration. ”I continue to believe that our fundamentals – our remarkable people, our clear and focused strategy, our new product pipeline, our 200+ retail stores, our $18 billion of cash in the bank with no debt, etc., will serve us well in the coming months and years.” In closing his email to employees, Jobs remained upbeat, reiterating confidence that those who remain loyal to their positions in Apple will inevitably come out on top. “I believe that investors who stay with us will be rewarded as the market’s confidence is restored over time,” he wrote. “Hang in there.”
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Apple [AAPL] quarterly guidance and actual earnings per share (chart courtesy of Centex) > AAPL EPS Guidance and Actual
AAPL P/E Ratio Perspective
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Apple (AAPL) Analyst Ratings via AAPLiNvestors.net As of January 23rd 2008
|
Source |
Date |
Rating |
Target Price |
|
AC Research |
24 Oct 2007 |
Hold |
|
|
BMQ Capital Markets |
8 Jan 2008 |
Outperform |
$205 |
|
Bank of America |
23 Jan 2008 |
Buy |
$180 |
|
Bear Stearms |
23 Jan 2008 |
Outperform |
$220 |
|
Broadpoint Capital |
23 Oct 2007 |
Buy |
$210 |
|
Caris & Company |
23 Jan 2008 |
Above Avg |
$165 |
|
Citigroup |
23 Jan 2008 |
|
$212 |
|
Credit Suisse |
23 Jan 2008 |
Outperform |
$175 |
|
Gabelli |
23 Jan 2008 |
Buy |
|
|
Goldman Sachs |
23 Jan 2008 |
Buy |
$175 |
|
Hearing Midwest |
23 Jan 2008 |
Buy |
$215 |
|
JMP Securities |
24 Oct 2007 |
Mkt Outperform |
$210 |
|
Lehman Brothers |
15 Oct 2007 |
Overweight |
$190 |
|
Morgan Keegan |
10 Jan 2008 |
Mkt Perform |
|
|
Morgan Stanley |
23 Jan 2008 |
Overweight |
|
|
Needham & Co |
23 Jan 2008 |
Strong Buy |
$235 |
|
Pacific Crest |
16 Jan 2008 |
|
$210 |
|
Piper Jaffey |
23 Jan 2008 |
Outperform |
$250 |
|
RBC Capital Markets |
14 Jan 2008 |
Outperform |
$215 |
|
Soleil Securities Group |
17 Oct 2007 |
Buy |
$200 |
|
Think Equity |
23 Jan 2008 |
|
$165 |
|
UBS |
23 Jan 2008 |
Buy |
$200 |
|
WR Hambrecht |
23 Jan 2008 |
|
$218 |
