jwest

Earnings Power vs. Investor Sentiment

I agree with awcabot, Apple is just at the beginning of a growth curve, not at the end of one. Your chart misses a huge metric that the consensus estimates have not accounted for- market share for the Mac. The ipod & iphone make the news, the mac makes the money. With the highest price tag and margins, this is where Apple makes most of it's profits. WIth the help of the ipod & iphone, the Mac has now been "discovered" by the mass media and general public. Apple is looking at over 40% growth in market share for the Mac vs 2006. Earnings for 2008 will be staggering. The only adjustments to your chart in 2008 will be up!