Alfredo Martinez

How Apple's Market Share Will Propel Stock to $500, Part 2

When someone proclaims that a company is going to become the most valuable company on planet Earth, it makes sense to be a bit skeptical.

That's not to say it can't be a company like Apple, it's just an amazing feat for any company.

There's a lot of Apple fan-boys (and I'm one of them), but many can't separate their love for the products from being levelheaded about assessing an accurate value of the company's stock.


On Nov 06 03:44 PM Dialectical Materialist wrote:

> I've heard this argument before. I'm not sure why Exxon Mobil is
> the only company that gets to be the biggest but the "That would
> be bigger than Exxon" is thrown around a lot. I think the worlds
> largest company could be any company with a global footprint, a huge
> brand recognition, and a product line that is essential to the way
> of life for much of the world's population. Great margins don't
> hurt. So when I think world's largest company, I have no problem
> with it being a large tech firm instead of an oil company. It does
> not surprise me that it is Exxon, but if it were Apple, I don't think
> were stretching the imagination too far. It's not like we're talking
> about facebook or travelocity. Apple is a legitimate world class
> company with a very desirable and very profitable line of products.
> There are arguments against a $500 stock price, but I think "that
> would mean it was the biggest company on earth" is not one of them.
>

Amazon Still Looks Overvalued

I've come to the same conclusion about Amazon. I think it's a great company that's stock is vastly overpriced.

I believe Amazon will become a dominant retail powerhouse like Wal Mart, but with a P/E ratio of around 47, I just can't justify buying it anywhere near the current price.