'Lack of Clarity' at Apple

One analyst believes that Apple's secrecy is a detriment to the company, cautioning potential investors to shy away from the iPod and Mac manufacturer. Robert Renck of the private research firm R. L. Renck & Co. is one of the few analysts who rates the company a sell because of its inability to provide more color on its products and future company direction, according to Marketwatch. "Renck believes the company's skimpy segment disclosure makes it a 'have-faith, trust me' stock. As a result, he has warned his clients, Wall Street's bullish forecasts aren't without risk for this simple reason: Analysts can't get a true and complete picture of how Apple makes its money." Renck, however, noted Apple is not doing anything wrong other than its penchant for secrecy. ""Without clarity," he said, "analysts can't forecast with any degree, other than to rely on what management says."

by MacNN Staff