43 replies to this topic 2 votes

[still1]

Quote

Apple is now the most valuable company of all time, with the Cupertino-based company’s market cap reaching a high of $621 billion. The company’s stock is trading at $664.12 per share, and reached a record price of $664.74 per share in trading today.
Microsoft previously set the record for a public company’s valuation at$618.9 billion in December of 1999.
Apple’s shares have been trading higher on the rumors of an iPad mini in production and a more powerful version of Apple TV. And of course, there’s been a frenzy around the upcoming release of the iPhone 5.

http://techcrunch.co...ny-of-all-time/

[Boz]

If there was ever an overblown value of a company, it's with Apple. Their whole value boils down to 2 products.

And as someone else pointed out about this article, the inflation is not taken into consideration..so Microsoft was in fact more valuable. 620 billion today and 620 billion in 1999 is certainly not the same.

[neufuse]

For a company that is basically relying on 3 key products, that have such a small market share across the world, this just doesn't seem right...... sure iPhones are popular, but they aren't as much as samsung, Mac's sure popular, but not anywhere close to market leader.... just smells of overvalued

Boz, on 20 August 2012 - 17:55, said:

And as someone else pointed out about this article, the inflation is not taken into consideration..so Microsoft was in fact more valuable. 620 billion today and 620 billion in 1999 is certainly not the same.

Adjusted for inflation MS should of been valued at $890 billion if that was today

[+techbeck]

Impossible considering all the money they are losing to Samsung. I mean, because of Samsung, Apple is really suffering.....

[SHoTTa35]

Boz, on 20 August 2012 - 17:55, said:

And as someone else pointed out about this article, the inflation is not taken into consideration..so Microsoft was in fact more valuable. 620 billion today and 620 billion in 1999 is certainly not the same.

If you've never said anything good before this is definitely on the list of smart ones, even if it wasn't yours originally

That's the first thing I thought when I ready it on CNN.com. I don't think Apple is a bad company and I certainly believe they freaking know how to market the hell out of anything. I guess IMO, i think this is like the "dot com bubble" of 1999 where this is the "Apple bubble" of 2010-2012. Eventually they have to come to a peak and if nothing even drop down a bit.

In any case, I so wished I had bought stock in 1998 or whenever my economics teacher told us about investing and stocks and all that back then. I may not have been super rich now but hell, even if I had $40,000 from 50 stocks or something i'd be happy.

(50 stocks back then with all the splits and whatever they've done over the years so it would be more now than just 50).

[neufuse]

SHoTTa35, on 20 August 2012 - 18:01, said:

If you've never said anything good before this is definitely on the list of smart ones, even if it wasn't yours originally

That's the first thing I thought when I ready it on CNN.com. I don't think Apple is a bad company and I certainly believe they freaking know how to market the hell out of anything. I guess IMO, i think this is like the "dot com bubble" of 1999 where this is the "Apple bubble" of 2010-2012. Eventually they have to come to a peak and if nothing even drop down a bit.

In any case, I so wished I had bought stock in 1998 or whenever my economics teacher told us about investing and stocks and all that back then. I may not have been super rich now but hell, even if I had $40,000 from 50 stocks or something i'd be happy.

(50 stocks back then with all the splits and whatever they've done over the years so it would be more now than just 50).

Don't ever expect a news organization that is Apple biased give you correct facts... Strangely most of them are Apple biased now, Fox News, CNN, NBC News.... wonder who paid who off

[still1]

techbeck, on 20 August 2012 - 18:00, said:

Impossible considering all the money they are losing to Samsung. I mean, because of Samsung, Apple is really suffering.....

Apple is getting real hit with Samsung Galaxy S3 now... couple of my friends got S3 and they were waiting for Iphone 5!!
I am sure a lot have done this!!!

[threetonesun]

Boz, on 20 August 2012 - 17:55, said:

If there was ever an overblown value of a company, it's with Apple. Their whole value boils down to 2 products.

And as someone else pointed out about this article, the inflation is not taken into consideration..so Microsoft was in fact more valuable. 620 billion today and 620 billion in 1999 is certainly not the same.

Their value boils down to a) ridiculous popularity / global recognition b) repeatedly successful product lines c) piles of cash on hand to invest with and d) the ability to hire top talent now and into the future.

I wouldn't say they're overvalued. If anything, Microsoft, today, is undervalued.

[SuperKid]

Well, this is what happens when you sell really good products at really overvalued prices.

[LogicalApex]

This is nothing more than Tulip Mania. Investors aren't buying the underlying company on sound investment principals. Instead they are frantically rushing to buy into house in the sky mania.

[vcfan]

market cap doesnt actually tell you what the real value is. yes the stock price is high, maybe because of some excitement of some of their products, but you have to remember they only have a few products they are banking on,and these are electronic gadgets that people use to play games on, not some life dependant technology. one **** up and it could bring them back down to irrelevancy. one **** up and the market cap could drop to extremely low levels like they had years ago.

and you also have to consider they make consumer products. if some other company came along and created this new mobile technology, apple would be dead overnight. whereas other companies like Microsoft,ibm,oracle,etc... make products that other businesses and governments rely on. these products will never go anywhere. these companies' value doesnt fluctuate like crazy like the value of a company like apple would.

[threetonesun]

Frazell Thomas, on 20 August 2012 - 18:43, said:

This is nothing more than Tulip Mania. Investors aren't buying the underlying company on sound investment principals. Instead they are frantically rushing to buy into house in the sky mania.

It's true, I planted a Steve Jobs in my yard last week, once he gets some branches on him, I'll be rich!

One of the best supply chains and design teams in the industry, vertically integrated, sitting on piles of cash, and a major influence in every industry they've entered (audio, mobile phones, and probably soon TV). You can argue they're overvalued, but they're hardly tulips.

vcfan, on 20 August 2012 - 19:09, said:

market cap doesnt actually tell you what the real value is. yes the stock price is high, maybe because of some excitement of some of their products, but you have to remember they only have a few products they are banking on,and these are electronic gadgets that people use to play games on, not some life dependant technology. one **** up and it could bring them back down to irrelevancy. one **** up and the market cap could drop to extremely low levels like they had years ago.

Who would you rather invest in, a life saving tech company with incredibly low profit margins thanks to research costs, regulations, and the fact that you can't price gouge on life saving tech, or Apple, with huge profits margins and huge demand for their products?

[vcfan]

threetonesun, on 20 August 2012 - 19:15, said:

Who would you rather invest in, a life saving tech company with incredibly low profit margins thanks to research costs, regulations, and the fact that you can't price gouge on life saving tech, or Apple, with huge profits margins and huge demand for their products?

Sure they are having huge profit margins and huge demand now, but I still wouldn't invest in them. Im not a cheerleader,and I personally don't think they are worth as much as the share price says. And I also think its a high risk position to take. I could lose my money overnight.

[BajiRav]

I guess certainly a good news for those who own AAPL.

[-Razorfold]

vcfan, on 20 August 2012 - 19:09, said:

market cap doesnt actually tell you what the real value is. yes the stock price is high, maybe because of some excitement of some of their products, but you have to remember they only have a few products they are banking on,and these are electronic gadgets that people use to play games on, not some life dependant technology. one **** up and it could bring them back down to irrelevancy. one **** up and the market cap could drop to extremely low levels like they had years ago.

Pretty much this. Tons of tech companies in the late 90s had massively overvalued stock too, look at Microsoft. Once the bubble popped the stock returned to the value it was supposed to be at. Hell Bill Gates for a short point of time had a networth of over $100 billion due to MS stock being overvalued.

Same thing will happen to Apple too. Are they a profitable company, sure no one will argue that but their stock isn't worth $600 billion+.