Since84
Moderator
To infinity and beyond!
Posts: 3,933
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Post by Since84 on Nov 8, 2018 3:23:12 GMT -8
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Since84
Moderator
To infinity and beyond!
Posts: 3,933
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Post by Since84 on Nov 8, 2018 7:44:02 GMT -8
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ono
Member
compensation
Posts: 537
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Post by ono on Nov 8, 2018 8:56:53 GMT -8
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Post by socal Film Composer on Nov 8, 2018 9:07:24 GMT -8
Good morning - I don't think I've seen anyone here mention Buffet in a while - but I recall when his big position in AAPL was disclosed and in the media, he spoke a few times about the absurdity of the apple's business being defined by a quarterly iPhone number. I credit him as a very smart investor, and it's hard not to imagine his opinion whether public or privately affected the management's decision not to disclose unit sales numbers going forward. Of course there is a lot of self interest as we are at a peak iPhone/ mature part of the cycle - but I tend to agree with Buffett; once you are in the ecosystem you STAY in it - so the regular recurring revenue of a new phone ever 3 or so years is a reasonable concept going forward, and the services growing expanding into the ecosystem.
I believe the new method or reporting frees them up a lot to be more creative and long term innovative rather than try dazzle wall street every quarter - earnings are earnings dammit!, and the overall health of the whole ecosystem (devices, services, etc.) and growth therein are far more important for a mature business such as apple.
Our PE is really like a consumer staple stock at this point, including a predictable and incrementally growing dividend. etc. the silver lining is (of course) the massive cash the business throws off and will continue to flow back to us in buyback, and dividends, thus increasing both earnings per share and value.
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Post by appledoc on Nov 8, 2018 11:03:50 GMT -8
Good morning - I don't think I've seen anyone here mention Buffet in a while - but I recall when his big position in AAPL was disclosed and in the media, he spoke a few times about the absurdity of the apple's business being defined by a quarterly iPhone number. I credit him as a very smart investor, and it's hard not to imagine his opinion whether public or privately affected the management's decision not to disclose unit sales numbers going forward. Of course there is a lot of self interest as we are at a peak iPhone/ mature part of the cycle - but I tend to agree with Buffett; once you are in the ecosystem you STAY in it - so the regular recurring revenue of a new phone ever 3 or so years is a reasonable concept going forward, and the services growing expanding into the ecosystem. I believe the new method or reporting frees them up a lot to be more creative and long term innovative rather than try dazzle wall street every quarter - earnings are earnings dammit!, and the overall health of the whole ecosystem (devices, services, etc.) and growth therein are far more important for a mature business such as apple. Our PE is really like a consumer staple stock at this point, including a predictable and incrementally growing dividend. etc. the silver lining is (of course) the massive cash the business throws off and will continue to flow back to us in buyback, and dividends, thus increasing both earnings per share and value. Amen. Quarterly iPhone numbers were important 7 years ago when the Android vs iPhone battle was at the peak. When Apple did 37 million units in 1Q12, that was important. It's been so long ago that Apple left Android in the dust. iPhone users stay iPhone users. They use MacBooks, Apple Watches, Apple TV, and iPads. The device game is over. Now it's about services.
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Post by appledoc on Nov 8, 2018 12:58:50 GMT -8
From user imac007 on SA.
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Post by macprof on Nov 8, 2018 13:56:36 GMT -8
“The great enemy of truth is very often not the lie--deliberate, contrived and dishonest--but the myth--persistent, persuasive and unrealistic. Too often we hold fast to the cliches of our forebears. We subject all facts to a prefabricated set of interpretations. We enjoy the comfort of opinion without the discomfort of thought."
Its amazing and sad how appropriate that quote still is today - in business and in politics.
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