The Fox

Steve Jobs' Health: A Red Herring

You have a lot to learn, my friend. Jobs' health is a HUGE concern to AAPL shareholders whether they be hedge funds or otherwise. Steven Jobs IS Apple. His health has been a concern for sometime now, and AAPL did nothing to alleviate that concern on the conference call. Saying "Jobs health is a private matter" is a far cry from "Jobs health is fine".

Face it- you got caught on the wrong side of the trade. I am short AAPL so I am feeling pretty blessed now. Additionally, don't think AAPL is the only company to get punished on good earnings. RIMM's earnings growth made AAPL look weak (107% year over year growth) and it still sold off. We are in a bear market. Stocks are to be shorted unless they are energy or commodities related. Why people don't see this is beyond me.

Apple Investors Were Pinned on Friday

My God, man, stop being such a cry baby. That is the difference between good traders and bad traders. Good traders go along for the ride (with the big money) while bad traders complain about "manipulation". You were wrong about the direction of AAPL on Friday. Get over it. Who cares about long lines for the new G3 phone...don't you think huge sales numbers have been "factored" in (even if they turn out to have been conservative)?

Also, in regards to RIMM...look at valuation. AAPL may be the "better" company, but RIMM sports a PEG of .86 to AAPL's 1.24. Big difference. Additionally, an telecom analyst (don't remember which) came out on Friday and stated that the G3 iPhone had ZERO impact on Blackberry sales last week. Whether that is true or not is anyone's guess. The point is that RIMM is cheaper and its business has not been effected (according to this analyst) by the new release (yet).

If the $6.00 drop on Friday bothered you...wait until after earnings. You are going to have your head handed to you. AAPL is priced for perfection and this whole "conservative guidance" going forward BS is going to bite them in the ass. The street is looking for $1.08. The "whisper number" is $1.12. God help them if them come in lower than that. Investors will get it even worse if AAPL doesn't raise year end numbers considerably OR they state that iPhone sales will start to cannibalize iPod sales. Look out below if the conference call isn't perfect news going forward. If you don't believe me then look at RIMM. They reported 107% year over year EPS growth and got hammered.

Disclosure: No current position in AAPL or RIMM