drianross

Inside The Apple Money Machine

I am from Germany and started value investing with rule number one. Now I read a much about value investing - Graham, Buffet, Lynch, Greenblatt and others. I calculated Apple and studied the annual reports. Over the last 9 years equity-, EPS-, sales growth have been far above 10 %. ROIC has been the last 5 years 12,3% on average and last year 25,3%. Only cash flow was last year negative. The 2 years before far above 10%. It is true Apple is starting and that is why you have not all numbers great. The equity growth low-rated would be 25%-30% the next years. The margin of safety would be therefore between 250-300 USD. So my conclusion is that Apple is not overpriced and you have to start with Apple before it is too expensive (value investing!!!).

Depending on Long-Term Aggressive Growth for Apple is a Gamble

I am from Germany and started value investing with rule number one. Now I read a much about value investing - Graham, Buffet, Lynch, Greenblatt and others. I calculated Apple and studied the annual reports. Over the last 9 years equity-, EPS-, sales growth have been far above 10 %. ROIC has been the last 5 years 12,3% on average and last year 25,3%. Only cash flow was last year negative. The 2 years before far above 10%. It is true Apple is starting and that is why you have not all numbers great. The equity growth low-rated would be 25%-30% the next years. The margin of safety would be therefore between 250-300 USD. So my conclusion is that Apple is not overpriced and you have to start with Apple before it is too expensive (value investing!!!).