Seeking Alpha

chocolate1995's  Instablog

chocolate1995
Send Message
  • How To Play Apple Now For Big Return! 0 comments
    Dec 4, 2012 11:53 PM | about stocks: AAPL

    Recently there has been a lot of attention to apple. The stock relatively recently hit an all time high of 705.07.Now the stock price is flirting a little under 600.

    There are many reasons for apple drastic drop in stock price.

    1.Aapls revolutionary iphones produce most of its total revenue. therefore anything that effects this product well reflect in stock price. the most recent iphone the iphone 5 is the biggest hit yet. the problem is there is such a high demand for this product they may not have the inventory and resources to produce for all the demand. as a result analyst expectations were lowered scaring off investors. So in a sense the stock is downgraded so people are found to be more skeptical.

    2. when the stock hit its all time high there is a very good chance that investors and hedge fund managers predicted this would be the high point and took advantage and sold off there stock for a great capital gain. charts show high volume during highpoint.

    3. stupid investors who don't understand stocks in general and just buy on speculation may of gotten scared off by the drastic drop and sold to overall people in general fear volatility and recently that's been apples middle name.

    4. with apples maps getting many negative results and many glitches it shows a lack of stability in staff and how foolish this company can be with regard to that fundamental. The map producer was fired so hopefully apple followers can hold that grudge to long but this also did affect stock price

    Now with all the negativity out of the way lets talk about some positives.

    1.everyone should bear in mind this point and i personally think its apples strongest one. When one looks for a company they look at its health with regard to inventory,worth,popularity etc.... the list goes on and on. Apple exceeds all. it is the biggest and most expensive company in the world. They have incomprehensible amounts of capital and great inventory and popularity. The essential business has never been better there selling like crazy always making new successful adjustments for customer satisfaction which is well achieved. so why is stock price going down if business is booming? ans: see above. but everyone knows if you have a healthy business your bound to be on top in the long term and this is a perfect example.

    2. even if the analysts downgrade apple revenue for the upcoming quarter the stock will still make a recovery. If it does not meet expectations the stock will take a hit but again the business is strong and very prominent so it will eventually recover.

    3.upcoming products can be big catalysts. this company is always making new products that rack up great sales so you should have in mind how strong apples revolutionary products has changed the world and will continue.

    now,finally my formula to be protected and produce your big return you want! I believe apple has not hit its low yet it will probably fair at little above 500 before the quarterly report. so buying now i don't recommend. selling short now is relatively low risk and is a good idea make sure to sell before quarterly report so you are safe. Now after the quarterly report if it meets analyst expectations buy right away because it'll go sky high from there once peoples fears are curbed. People will recognize what gold they have. If its negative again its a buy but wait until the next quarter for more heavy selling will be in play. but after you will make great gains this stock is definitely long in the long term aspect destined for greatness and will once again make new highs. Remember its all about your timing and correct timing in play will make you successful.

    Stocks: AAPL
Back To chocolate1995's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers

StockTalks

  • appl
    Jul 27, 2012
More »

Latest Comments


Most Commented
Posts by Themes
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.