GT Advanced Technologies Inc fka GTAT

[rechnerhand]

What Apple, Inc. Stock Investors Need to Know About Tim Cook Being Named CEO of the Year


" .... Hamilton: The perception of the company is what has changed.

If you look back to, say how to make investment decisions and so forth, you have to look beyond what either analysts are saying or the media's saying. Back two years ago or a year ago, you could have easily made some money on Apple by just saying, "Do I believe Apple is not innovative, like everyone else? Can Apple prove them wrong?"

If you look out a year or two; Apple Watch, Apple TV, different iPads, new iteration of the iPhone. If they can keep that moving along, it's a very good opportunity to make some money.

One important thing to look at as well, as I've mentioned people pegged Tim Cook as a supply chain guy. That's a good thing, because if we look at it, one of the big stories with Apple ...

O'Reilly: You kind of need the supply chain guy for the biggest company in the world!

Hamilton: No doubt about it! And with so many suppliers and the quick turnaround they have with developing a new iPhone every six months, or coming out with a new iPad all the time, or new products, you need to be a supply chain guy. But one of the big stories of 2014 was GT Advanced and the bankruptcy there.

O'Reilly: I don't mean to interject, but that actually makes me wonder.

If I'm Tim Cook and I'm sitting at a meeting and they're like, "Okay, we've got this iPhone 6 and we want to put in this Gorilla Glass, we want to put in new glass," sort of stuff, would he be the guy that immediately would be able to come up and be like, "Yeah, we probably can't get enough product to sell billions of these"? Why is that important?

Hamilton: He might have a good bead on, to tell what the process could be. I don't know the exact answer there but if you look at -- as a whole, the supply chain, and even looking at GT Advanced -- you need these guys in there to manage the process.

GT Advanced went bankrupt. Apple had some very favorable areas of the contract, which worked out well for them. With the turnaround time they have and the technological advantages that they put in every phone, you really need to have good supplier relations. If you look at Apple, they've got very solid supplier relations.

One other thing, getting back to innovation and acquisitions; the perception is, Apple is innovative. No doubt about it. But it's not all just Apple.

For example, Apple acquired a company called SnappyLabs in early 2014. What the company does is run a JPEG image engine that works on ARM processors, which is Apple's A9 chip. What it allowed the iPhone to do is essentially shoot at 20 frames per second, whereas some of the better technology, like in the Samsung S4, runs at 7.5 frames per second.

A lot of people look at it and would be like, "Oh god, Apple's so innovative. How did they get such a nice camera?" They went out and acquired somebody.

O'Reilly: They went out and bought somebody, yes. ...."

http://www.fool.com/investing/general/2015/01/05/what-apple-inc-stock-investors-need-to-know-about.aspx