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Nitin Gulati  

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  • How Much Value Can Apple Watch Create? [View article]
    Autonomous wearable devices will be the game changer in my opinion. Entering in the market with passive-wearable is a step in the right direction.
    Sep 12, 2014. 05:58 PM | Likes Like |Link to Comment
  • How Much Value Can Apple Watch Create? [View article]
    thomasone

    Multi functional , stand alone devices will indeed the game changer. Passive wearable devices aren't going to change the game.
    Sep 12, 2014. 05:56 PM | 1 Like Like |Link to Comment
  • How Much Value Can Apple Watch Create? [View article]
    Joeyleeka

    Its a niche product but needs to evolve over time to gain mainstream adoption
    Sep 12, 2014. 05:53 PM | 1 Like Like |Link to Comment
  • How Much Value Can Apple Watch Create? [View article]
    Cliff,

    That's exactly what I am concerned about. Watch is not a phone which we need all the time. Until and unless watches become stand alone devices which can perform all the functions of a phone , it will remain as a secondary product- which means retention rates for the first couple years will remain low.
    Sep 12, 2014. 05:52 PM | 1 Like Like |Link to Comment
  • How Much Value Can Apple Watch Create? [View article]
    EGARYE

    Platform-centric business model will remains the recipe to huge profitability in future. In my opinion, through this event Apple clearly demonstrated to its competitors not what is doing but what they couldn't do.

    Sticking to basic fundamentals " Keep it simple for consumers"
    Sep 12, 2014. 05:46 PM | Likes Like |Link to Comment
  • How Much Value Can Apple Watch Create? [View article]
    thotdoc,
    Point of argument is not that technology is dead but consumers aren't completely ready to add one more device to their arsenal. Technological advancements such a stand alone devices or multi functional would definitely draw in consumers.
    Sep 12, 2014. 05:42 PM | 1 Like Like |Link to Comment
  • How Much Value Can Apple Watch Create? [View article]
    Hank

    Agreed that Watch could generate revenue from recurring APP subscriptions but all that is speculation at present. We need to see how this will evolve over time. But I do agree that if its takes hold, scalability advantage would be huge.
    Sep 12, 2014. 05:35 PM | Likes Like |Link to Comment
  • How Much Value Can Apple Watch Create? [View article]
    Please note that $20 billion is not the annual revenue that Apple could generate in its first year from "Watch". Rather I am projecting $4.3 billion in the first year on unit sales of 12.25 million , followed by revenue of $12.2 billion on unit sales of of 35 million. Please read through the table for my estimates on market share, operating margin and reinvestment requirements. Be aware of that this category is not expected to go main stream until stand alone wearable emerge and consumers need more time to adapt multiple devices in their lifestyle.

    This article is an attempt to estimate the enterprise value which " Watch" could create for Apple.

    Hope that helps
    Sep 12, 2014. 05:29 PM | 1 Like Like |Link to Comment
  • How Much Value Can Apple Watch Create? [View article]
    Joseph
    You are correct , wearable is going to emerge as exceptionally strong category and multi- functionality features will decide the winner for the market share. Apple remains the undisputed leader in integration of software and hardware but monitoring luxury watch makers gradually shift their rhetoric suggests they are aggressively seeking to exploit any marketing opportunity to dissuade consumers from buying it.
    Sep 12, 2014. 05:20 PM | Likes Like |Link to Comment
  • Apple Knows How To Deliver Against Google And Microsoft Into Earnings [View article]
    Major issue with Apple's stock until April earnings report this year was disappearance of growth premium from its earnings multiple. Essentially what last earnings report changed was it reignited the growth expectations - driving stock higher. Company has pulled all the tricks up its sleeve to pump up the price through financial engineering but if it fails to impress of innovation side, investors should embrace for a major disappointment.
    Jul 16, 2014. 09:22 AM | Likes Like |Link to Comment
  • Apple Still Offers 15% Upside Plus A Free Call Option On New Products [View article]
    With this run up in the stock prices, market has already priced in a new product from the company and if company fails to deliver on that expectation, I am sorry stock can be on a trip south .
    Jun 17, 2014. 02:18 PM | 2 Likes Like |Link to Comment
  • Apple: Passing The Baton From Financial Engineering To Business Fundamentals [View article]
    Hank , I agree with your assessment that Apple stock will rise until the new product announcement and herd behavior can push it further as well. I believe Apple is fairly valued at these levels , since we do not what product category they will launch. Having said that, it do offers enhanced capital protection against the likes of facebook, netflix, amazon, twitter.
    Jun 4, 2014. 02:11 PM | Likes Like |Link to Comment
  • Apple: Passing The Baton From Financial Engineering To Business Fundamentals [View article]
    You can read my valuation estimate here http://seekingalpha.co....
    Apple had put together building blocks but investor went overboard lifting their expectations to an extreme. As I stated extreme optimism was followed by extreme pessimism, and under the huge pile of cash, management reversed stock decline through its buybacks. Investors are repricing their growth expectations and company better match up to these expectations
    Jun 4, 2014. 01:58 PM | Likes Like |Link to Comment
  • Apple: Passing The Baton From Financial Engineering To Business Fundamentals [View article]
    In fact, that's exactly management intends to do. Stock split will help retail investors to buy in the Apple story, lift hopes for second big gain opportunity. This is where it gets dangerous. I have said it before, I wouldn't be surprise if this leads Apple to another irrational price extreme.
    Jun 4, 2014. 10:41 AM | Likes Like |Link to Comment
  • Apple: Passing The Baton From Financial Engineering To Business Fundamentals [View article]
    Recent uptick in growth expectations provides evidence that market is hoping for a new product category. And historically, that has always proved correct with the exception of 2012 , where investors expectations diverged too far out form actual reality
    Jun 4, 2014. 10:10 AM | Likes Like |Link to Comment
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