Wanted to purchase an Apple Watch and IPad Pro today at my local Apple Store. Was able to purchase the watch, though was told the watch is selling extremely well and quantities and selection was very limited. The IPad Pro is sold out and none were available in any Apple or Best Buy store in a 250 mile area! The Apple employee said the Pro and the Watch are the hottest items this season. The minute the Pros arrive at the store (daily) they are sold immediately. Doesn't matter what color and what size...sold! Seems to me Apple has a couple new items generating a lot of incremental sales this season. This is a small sample but very encouraging. Sill long Apple here.
Apple can do everything and they have money to do it. The best employees, and great products! Now Apple with Cook in charge have to convince investors about the strategy as they convinced customers to use Apple products. They have to do something! As did Google with Alphabet! SBB is not everything but i think they do great job what will be seen in next 2 years. Not now though. So when the big mutual funds understand that is more logic to pay 10pe for growth company than 30pe for decelerating as MSFT will be a win.
As for the price - I simply don't believe Apple could hit the $160+ PT set out by many firms (FBR, Drexil hamilton, Goldman Sachs, Bream, Maxim) over the past few months. Using Marketbeat, the average comes in around $145 when averaging the past 2 months of price targets.
However, I'm willing to concede bearishness and believe the low end of the range, 120-125. At the very least, it's 10% from here. This feels like a temporary setback. If you sell Apple right now, you're just being reactionary and are playing into fear. Just wait and Apple will stabilize, as it's already doing today.
