Buy, Sell or Hold: Research in Motion Poised to Snag More Market Share [View article]
The item that trips up most analysts when comparing AAPL to RIMM, including Mr. Marquez here, is AAPL's whopping cash position. Three months ago, AAPL now had about $27/share in cash; that is now well above $28. When buying a share of AAPL, one is buying that $28 in cash, compared to about $3 when buying a share of RIMM. Want to compare the two companies' P/Es and PEG Ratios? Back out the cash per share from each share price first, since the remainder is what one is truly paying for the future business.
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The item that trips up most analysts when comparing AAPL to RIMM, including Mr. Marquez here, is AAPL's whopping cash position. Three months ago, AAPL now had about $27/share in cash; that is now well above $28. When buying a share of AAPL, one is buying that $28 in cash, compared to about $3 when buying a share of RIMM. Want to compare the two companies' P/Es and PEG Ratios? Back out the cash per share from each share price first, since the remainder is what one is truly paying for the future business.
Jan 06 12:20 pm
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All Comments by Channon »Buy, Sell or Hold: Research in Motion Poised to Snag More Market Share [View article]