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Let me begin this article by sharing my own strategy with Apple (NASDAQ:AAPL) stock. I purchased the January 2014, $400 strike price LEAPS awhile back, when Apple was at $375ish per share. I paid about $80.00/share, or $8,000 per contract. That was $29,000 less than I would have had to pay to buy 100 common shares. The price right now is about $165/share or $16,500 per contract. I have doubled my investment, even as the shares of AAPL have not doubled. So I have leveraged my money into a higher return, can own more "shares" and now I have also purchased more leaps.

I believe strongly that we are beginning to scratch the surface of AAPL true valuation going forward, and there is no telling where this stock could go to. It could pull back, so do not misunderstand, everything has a risk and this is a risk play in my opinion.

Why Should I Buy More Now?

The other day I wrote an article on Apple about how proud I was of myself for continuously calling for higher share prices and revolutionary new products such as the Apple TV.

Ok, so there have been trillions of articles written about Apple these days, and why not? The company continues to amaze and dazzle us with just about every breaking story, virtually everyday.

I've had 100 comments on the article (read it here) with many giving me grief about pointing out the obvious! Well again, I say so what! How many times within our lives do we come across something that never ceases to amaze us, to touch us, to help us in our daily lives, to enrich us, and to have fun with, all at the same time?

We are in the world of investments on Seeking Alpha. What better place to share unbridled joy at a stock that we all know, many of us have invested in, and still offers us amazing opportunities to profit from!

Tuesday, Tim Cook, CEO of Apple, took to the stage and spoke about the past, the present and the future of the company. Giving investors and potential investors a rare glimpse into the inner workings and thoughts, within the boardroom at Apple. Read the report here and see that Mr.Cook who very rarely takes the pulpit, used words like "jawdropping", phrases like "off the charts" and "unprecedented".

To be sure, these words and phrases are rarely, if ever, used in connection with public company comments. At least I have never heard them used this often in one speech, have you? My goodness he even stated publicly that tablets will eventually surpass personal computers, eroding Microsoft's (NASDAQ:MSFT) Windows dominance, while acknowledging the competition from Amazon.com (NASDAQ:AMZN) and its Kindle Fire.

Those are fighting words where I come from. Not the normal boring future projections of a company whose share price might have run ahead of itself. Simply remarkable to me. Even The New York Times ran a report on Apple's "newest product", Tim Cook! (Read this)

There was even a tidbit about the Apple TV that is rumored to be almost upon us: "Mr. Cook played down the company's Apple TV product because it had not approached the magnitude of Apple's mobile phone, computer and tablet businesses. But he hinted that it might. "We've always thought there was something there and that if we kept following our intuition and kept pulling the string, we might find something that was larger," he said.

Jefferies and Co., a rather conservative company in its own right, gave it a buy rating today with a $600/share price target stating that AAPL "has the ability to maintain higher margins than the market realizes" (read the report here) which are pretty "heady" words from Jefferies.

What Did Apple Do Today?

Apple Inc. (<a href='http://seekingalpha.com/symbol/aapl' title='Apple Inc.'>AAPL</a>)

As we can see it didn't do too much. Just another 7 bucks a share, and in after hours it tacked on another 2 bucks. By the way the market was flat.

To those who said that there were no more buyers for now, well I guess at least for now, you folks are wrong.

As for me, well, I won't pat myself on the back now because I am thinking that my $700/share PPS is far too conservative.

If you were to consider using my LEAPS strategy, the January 2014 600 strike price is what I bought several days ago, and I am probably going to add more today.

That LEAP is selling right now for about $67/share or $6,700 per contract, which is nearly where I was previously with my first LEAP purchase.

I am buying more LEAPS. What are you folks doing?

Disclaimer: Please remember to do your own research prior to making any investment decisions. This article is not a recommendation to buy or sell any securities or stocks, and is the opinion of the author.

Source: Apple LEAPS: The Gift That Keeps On Giving