Newspapers are all over it. Can apple get to $1,000 a share? Even when trying to bite its tail two weeks ago, it was an already expensive $540. A lesson learned is that when a stock is taking off, do not buy limit orders, just buy it. Today's price: 628 and holding in that range. With a P/E of 17.50, it is not overly expensive.
Without even looking at financials, there are the risks of backlash from labor conditions, higher costs, dividends taking capital out, investments in negative return projects like TVs, the risk of becoming another cash hoarder, shrinking margins, and there is also the kindle fire with other competitors.
On the other hand, 30 millions iPads might be small compared to 5 billion people worldwide.
AAPL has become by itself a measure of technology in the world. It has become a predictor of supply chains, innovations, and global consumer confidence. Just with this, it is a must have in any portfolio.
Can AAPL break the 1,000 share "prize"?
AAPL will still capitalize on the residual business from its still fresh successful footprint. It has enough products to ride that wind. AAPL's consumers are happy to pay $200 for a replacement battery or phone that went bad. It is an unmatched sense of value following on the Toyota tradition where the notion of haggling is unthinkable.
What some analyst miss sometimes is that we live in a very small world. It is not so much how good a company is, but how good is it relative to the rest of the market. This will continue to attract positions from an international investor base. Without suffering a fluke or a competitor in shining armor, there is more than enough for the next couple years as it still becomes more mainstream.
