<p>Tim Cook was asked about a larger screen iphone and basically said it would involve tradeoffs that at this stage they were not willing to make implying that a larger screen phone was not coming out in the near term. I think this is why the stock dropped in the after hours. An interesting comment from one of those Najarian folks when aapl came out with earnings was the discrepancy between the mini and regular options. Apparently the minis traded mainly by retail investors were more bullish than the regular options which showed that the “big” money was still very cautious.</p>
<p>I unloaded all my vz on the 18th at 51.264 - lower than it is today</p>
<p>The after market hours close is usually pretty close to where the stock opens the next day unless there is some news so I doubt aapl will trade anywhere close to 425 tomorrow. A conference call is where the news is disseminated. Brokerage firms and analysts will have the night to digest the news but since I am a gambler… I would bet we aren’t seeing 425 Wednesday.</p>
<p>I don’t know how you trade a half a share of t. That is news to me.</p>
<p>105 shares ok. 1105 shares ok. 5 shares ok. 100.5 shares?</p>
<p><a href=“Apple to dole out $100B to shareholders”>Apple to dole out $100B to shareholders;
<p>I’ve had fractional shares before when I reinvested dividends.</p>
<p>Oh… Interesting…</p>
<p>I agree you won’t see the high price of the after hours but you could see a 2 percent pop.</p>
<p>Yeah you can… </p>
<p>And the pre market is thin. You can see some weird trades there. </p>
<p>Did aapl talk about giving away 100 billion in cash during the after hours?</p>
<p>I keep reading about aapl the growth company but aapl isn’t growing much right now.</p>
<p>I find it interesting that aapl is going to borrow money to do the stock but back and I am having a senior moment so I will have to get back to you. Lol</p>
<p>Oh… The stock buy back so far has only covered the dilution. The future stock buy back s will exceed the dilution but these dilutions hurt shareholders big time. </p>
<p>If stocks used to return 11 percent a year for decades with dividend yields of 4 percent, and now dividend yields are 2 percent, that can knock 2 percent off future returns. Then…if GDP grows 1 percent lower over time because of lower population growth, and the fact that the economy is larger (making growth more difficult), this might reduce returns another 2 percent. Now we are down to 7 percent. Then if we have 2 percent dilution a year, we are down to 5 percent returns going forward. </p>
<p>Not good. These numbers are ball park numbers. I think more accurate than the Laffer Curve though. Lol If I knew what the actual dilution is, I could come up with slightly more accurate numbers. I like these numbers though.</p>
<p><a href=“http://beginnersinvest.about.com/od/investingglossary/a/basic-EPS-diluted-EPS-definition.htm[/url]”>http://beginnersinvest.about.com/od/investingglossary/a/basic-EPS-diluted-EPS-definition.htm</a></p>
<p>This is a good article on dilution and buybacks…transferring wealth slowly from shareholders to management. As a shareholder, I don’t like that.</p>
<p>[Chicago</a> GSB | Capital Ideas](<a href=“http://www.chicagobooth.edu/capideas/fall03/stockrepurchases.html]Chicago”>http://www.chicagobooth.edu/capideas/fall03/stockrepurchases.html)</p>
<p>so based on that first article and equation, aapl should be at a price of (8.5x +18x)(40) = $1060 share price (assuming a growth rate of 18%).</p>
<p>That first article is a little simplistic. I don’t know where you are getting 18 percent growth though.</p>
<p>I estimated from yahoo finance based on pe = 9, peg = .47. I see that cnbc has a peg of .74 which would still give a growth of 12% and a price greater than 800 per share.</p>
<p>Ok… I can’t spend time on this… </p>
<p>I don’t like the formula… And I have no idea what you are doing…</p>
<p>I’m applying the formula from the paper that I don’t necessarily agree with but as has been said in numerous articles, even comparing aapl to utilities, aapl is priced for 0 growth not 18%, or 12% but basically no growth.</p>
<p>Aapl’s earnings are declining (even if it is temporary) and its cash balance is a value trap. </p>
<p>[Apple</a> profit slips 18% - Apr. 23, 2013](<a href=“http://money.cnn.com/2013/04/23/technology/mobile/apple-earnings/]Apple”>Apple profit slips 18%)</p>
<p>I think aapl may bottom during the next 4 months as investors look past the next qtr.</p>
<p>Well a lot of the fast money guys are holding off on aapl especially for the next several days. It is still presumably a second half story. Tim Cook also said they’ll have exciting products for the fall and 2014 which also tripped up the stock as some investors were expecting new products in the summer.</p>
<p>right now I prefer selling 1 weekly aapl put for a yearly gain of 5k.</p>
<p>You know I don’t really care about these fast money guys. I really don’t.</p>
<p>I am not being obnoxious. I make up my own mind. I don’t need or want these guys to tell me what to or how to think. I probably said that before. Lol
If I didn’t work in the industry, maybe I would find these guys more interesting, but
I did work in the industry. </p>
<p>You posted about that bald headed fat guy last qtr who was some technical analyst guru and who said aapl was going to bottom in two days. That was a few months ago And 80 points or so higher.</p>
<p>That is par for the course with these guys.</p>
<p>They are great salesmen.
I don’t want to hear a salesman. How long have we heard about aapl’s big cash balance? </p>
<p>I like the aapl put trade though. I am going to go back in…I don’t know exactly when. </p>
<p>The butterfly idea is not bad either.</p>
<p>The bald headed fat guy?? Who’s that?</p>