Saturday, September 8, 2012

Apple Stock

If I had $100,000 to spare I would short Apple stock. Its inflated prices based on chic name branding are not going to be competitive over the long-term in overseas markets. Also, its recent attacks on Samsung will do it no favors in Asian political circles which ultimately will play out in the economic arena.

Apple is a niche company for a certain type of upper middle-class Westerner with extra cash to spare, an interest in specialized software, and the desire to be fashionable in technology as some are in clothing.

It has no business being the highest valued company in history and this will proven out.

1 comment:

Anonymous said...

I would love to see the data from which you are drawing your conclusions. I am assuming you are basing your statement on a deep dive into Apple's financials? When you say long term - how long?

A quick look over Apple's growth seems to suggest it is, more and more, shifting overseas - in particular China. Further, Apple appears to be poised for a surge in market share and record profits - how would you time your short so as to not get caught out on the wrong of the peak?