Sorry but I couldnt disagree more. Markets are inefficient because it is driven by people. As long as people are involved, the market will be irrational.
CCME: Accusations About Inability of Deloitte as Auditor Debunked, SEC Filings Correct [View article]
Seekingalpha editor,
Please delete this old article that is being published as new now. At the time of writing seekingalpha chose not to publish it as there was plenty being written about CCME. Now that it is irrelevant please remove it.
@All, Since the original article I have admitted my mistake sold out with a small loss and no longer hold a position.
Apple Is Still a Great Investment, Right? Not for Value Investors [View article]
I really dont bother with the obsession with non-GAAP numbers. As I stated I value companies based on FCF not top line earnings and PE.
Even if AAPL spreads out revenue, how likely is it that the FCF number will jump each year? Very unlikely.
iPhone has been on the market for a while now so I already have a fair idea of how much FCF based on their CURRENT revenue recognition method.
And let's say that I am wrong, considering the law of large numbers and what AAPL has to do to beat that barrier each time, it's getting harder and harder.
Thanks richbar. A value trap is also one where the intrinsic value of the company erodes down to the current valuation.
I even used earnings of $33 in one of the valuation, increased maintenance capex to simulate the money it will take to stay competitive, and it all points to a zero growth expectation so I am fine with where I am.
correction. I bought in 2008 at $90. I did not buy at $700 because it may have had growth behind it but I didn't want to pay for that growth. I did buy below $460 because it is being valued for zero to negative growth.
The +33% to +60% that you cite are numbers based off lowballing it to show how irrational the market is pricing aapl.
Apple Is Still a Great Investment, Right? Not for Value Investors [View article]
@pk de cville
I read that post as well but felt it overcomplicated a situation that is pretty obvious. And by all means you are free to disagree with me.
Non-GAAP? Don't see people using non-gaap numbers with Google and they seem to have just as much up their sleeve.
Just an FYI I don't trade on any form of Wall Street. I don't openly disclose stock positions on Seeking Alpha but you'll get an idea of what I hold in my portfolio update. www.oldschoolvalue.com.../
Apple Is Still a Great Investment, Right? Not for Value Investors [View article]
@ Think "As an investment, the price does not have enough of a margin of safety"
Value investing is all about margin of safety and protecting the downside. At its current price how big is the margin of safety? Which is why a value investor is probably better off finding other gems.
On Aug 14 07:41 AM Think wrote:
> Not really sure where you argue that it's not a good buy for a value > investor...and I'm not sure what other stocks you are referring to > that are up greater than 111%. Granted I agree that there probably > are some other stocks that you can possibly get a higher return, > but based on your arguments I just don't see how you can say it's > not a good investment for a value investor.
Apple Is Not Worth $460 [View article]
Markets are inefficient because it is driven by people. As long as people are involved, the market will be irrational.
Price is just a tool. It does not indicate value.
CCME: Accusations About Inability of Deloitte as Auditor Debunked, SEC Filings Correct [View article]
Please delete this old article that is being published as new now.
At the time of writing seekingalpha chose not to publish it as there was plenty being written about CCME. Now that it is irrelevant please remove it.
@All,
Since the original article I have admitted my mistake sold out with a small loss and no longer hold a position.
Apple Is Still a Great Investment, Right? Not for Value Investors [View article]
As I stated I value companies based on FCF not top line earnings and PE.
Even if AAPL spreads out revenue, how likely is it that the FCF number will jump each year? Very unlikely.
iPhone has been on the market for a while now so I already have a fair idea of how much FCF based on their CURRENT revenue recognition method.
And let's say that I am wrong, considering the law of large numbers and what AAPL has to do to beat that barrier each time, it's getting harder and harder.
AAPL at $240? I dont think so.
Apple Is Not Worth $460 [View article]
A value trap is also one where the intrinsic value of the company erodes down to the current valuation.
I even used earnings of $33 in one of the valuation, increased maintenance capex to simulate the money it will take to stay competitive, and it all points to a zero growth expectation so I am fine with where I am.
Thanks again.
Apple Is Not Worth $460 [View article]
Apple Is Not Worth $460 [View article]
I bought in 2008 at $90.
I did not buy at $700 because it may have had growth behind it but I didn't want to pay for that growth.
I did buy below $460 because it is being valued for zero to negative growth.
The +33% to +60% that you cite are numbers based off lowballing it to show how irrational the market is pricing aapl.
Apple Is Still a Great Investment, Right? Not for Value Investors [View article]
Spot on. I bought at $98 but sold shortly after as I found several cheap stocks that have returned 500% and 1000%.
Could never expect that with AAPL which is why I sold.
Apple Is Not Worth $460 [View article]
Apple Is Not Worth $460 [View article]
Testing the Benjamin Graham Formula on Microsoft, Apple, Dolby Labs [View article]
Invest according to your own beliefs.
Testing the Benjamin Graham Formula on Microsoft, Apple, Dolby Labs [View article]
Invest according to your own beliefs.
Apple Is Still a Great Investment, Right? Not for Value Investors [View article]
I read that post as well but felt it overcomplicated a situation that is pretty obvious. And by all means you are free to disagree with me.
Non-GAAP? Don't see people using non-gaap numbers with Google and they seem to have just as much up their sleeve.
Just an FYI I don't trade on any form of Wall Street.
I don't openly disclose stock positions on Seeking Alpha but you'll get an idea of what I hold in my portfolio update.
www.oldschoolvalue.com.../
Apple Is Still a Great Investment, Right? Not for Value Investors [View article]
"As an investment, the price does not have enough of a margin of safety"
Value investing is all about margin of safety and protecting the downside. At its current price how big is the margin of safety?
Which is why a value investor is probably better off finding other gems.
On Aug 14 07:41 AM Think wrote:
> Not really sure where you argue that it's not a good buy for a value
> investor...and I'm not sure what other stocks you are referring to
> that are up greater than 111%. Granted I agree that there probably
> are some other stocks that you can possibly get a higher return,
> but based on your arguments I just don't see how you can say it's
> not a good investment for a value investor.
Five High-Yield, Small Cap Stocks [View article]
4 Stocks Passing A Contemporary Graham Investment Checklist [View article]