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AAPL Stock: 562.29 ( -3.03 )

Fool.com reader analyzes Apple

updated 02:31 pm EST, Mon December 4, 2000


"What if Apple never grew again?" analyzes Apple's recent stock performance and takes a look at how much Apple should be worth if the company, theoretically, never grows. "Add the $10.15 per share for the future cash flows to the $10.48 per share for cash already in Apple's bank, and we get a value of $20.63 per share. And that's assuming Apple never grows... ever. A nice little 21% premium over today's stock price! Don't know about you, but I'm seriously thinking of scooping up a few shares."


by MacNN Staff

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Comments

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    It's happened before...

    ... and it'll happen again. When Apple's stock dove to this level a few years ago I told people to BUY BUY BUY! But they didn't listen. Then the stock rose to its highest level in the companies history, split and soon the walls were echoing with the sounds of heads banging against them.

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    Be realistic ...

    Uh, what if it shrinks?

  1. 0

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    If every Mac owner...

    If every Mac owner purchased 1 share of apple, the stock price wouldn't be in this predicament.

    Since I realize that's not likely or possible, if we can get 10% of all Mac users to by 10 shares, we wouldn't be in this hole, either.

    While I purchased my original apple stock on the way down the first time, I held, sold it, and it helped me make a down payment on my house. I now own 50 shares, and just moved the money into my account to double that....

    So lets's back this up with actions! 10 shares of apple stock, including e*trade fees, is only around $190! (That's only 19 pizza's)

  1. 0

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    Who's selling?

    That's the only thing I can't figure out.

  1. 0

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    Sellers

    Tech Index managers and fund owners that see poor performance over the last year.
    Folks with massive gains on other stocks always sell off stocks with losses at the end of the year if they can to offset the tax difference.
    And of course, dumb people.

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    Re: If every Mac owner..

    Do you realise that there are over 300 million share of AAPL outstanding, and about 10 million traded every day? a few million one way or the other would not make a difference in the stock price, and certainly doesn't fix the underlying problems of the company, so the price will continue to drop.

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    AAPL cash is $2B, not 4?

    Steve once bragged that Apple's internet streaming strategy was to invest in Akamai and that it was worth a billion dollars now. That was over a year ago, and Akamai has been going down ever since. Besides the fact that this was just a typical reality-distortion diversion to distract the Mac faithful from realizing that Apple has no internet strategy whatsoever, that billion dollars is probably closer to 100 million now, and depending on what price Apple bought those AKAM shares at, they may have even have a net LOSS on their investment now!

    Wake up people!

    I've been hearing about Apple's 4 billion dollars in cash for a couple years now and the interesting thing is always that it is STILL 4 billion. This can't possibly be accurate - e.g. subtract 1 billion because Akamai is worthless now, and any other investments that Apple has made are correspondingly down.

    So my question is: given that everyones' investments are 1/10 - 1/2 of their value six months ago, what is Apple's cash position TODAY? 4 billion dollars on September 31 2000 is not 4 billion anymore. I suspect the Q1 balance sheet will be quite a shock for many people.

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    get a free computer

    it is very simple , buy apple stock wait a little while then sell . now you have enough money to buy a new computer . This is how some people keep on buying new computers

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    AAPL Cash

    Ummm hate to break this too you, but if it states on their SEC filiings they have 4 bill in cash they have 4 bill in cash.
    Whether or not AKAM dropped. You DON'T LIE TO THE SEC and investors without major consequences.
    AKAM has been down prior to the latest apple earnings report. Those numbers are taken into account.

    And you are foolhardy enough to think Apple has no internet strategy? You must be snorting coca cola through your nose.

    Do you know what the "i" in iMac and iBook stand for?
    Do you know what iTools is?
    Do you know what quicktime is?
    Please get a clue.

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    ummm

    a) what happens if the market shrinks or jobs gets hit by a bus driven by Billy Bob Gates?

    b) it is worth what it is today because that is what everybody is willing to pay for it...sigh..the people here are clueless

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