Apple stock fell 6.6% on Wednesday following a sharp after hours decline Tuesday evening. The company reported an earnings announcement that beat the street's expectations but the focus was, and continues to be on the slowing iPhone sales. Today we will take a closer look at the monster balance sheet of Apple as well as some technical analysis for the short term. Fundamentals: There is no question that cash is king, and Apple is the king of cash. The chief executive Tim Cook even commented in his shareholders call that Apple has "the mother of all balance sheets". Everyone likes to marvel at the cash Apple has and how they could buy Tesla, or go on a buying spree and gobble up many of their 2nd tier competitors. The problem is they really cant do this nor will they. Apple has roughly $215 billion in cash and equivalents on its balance sheet as of its latest quarterly report. The issue, which many politicians are learning, is that even those who have the most cash cant buy votes (or customers in Apples case). Especially when you cram a new version of the same product down your customers throat seemingly every few months.
Another thing that many investors forget is that Apple has most of this "Cash" overseas. Tim Cook himself has said many times that there is no way he brings the cash back to the states and pays a 40% tax. Nothing wrong with that, and not many would argu...
Every now and then the markets make a severe move one way or the other (usually lower) that causes long term investors to take a close look at their holdings and possibly make a switch. Now, there are many ways to invest for the long term and one of those ways is to simply close your eyes and wait it out. Another way is to buy on the way down, and build a big portfolio as prices get cheaper, then, wait it out. These are all fine ways to manage your portfolio and we are not he...
Apple stock fell 6.6% on Wednesday following a sharp after hours decline Tuesday evening. The company reported an earnings announcement that beat the street's expectations but the focus was, and continues to be on the slowing iPhone sales. Today we will take a closer look at the monster balance sheet of Apple as well as some technical analysis for the short term. Fundamentals: There is no question that cash is king, and Apple is the king of cash. The chief executive Tim Cook even commented in his shareholders call that Apple has "the mother of all balance sheets". Everyone likes to marvel at the cash Apple has and how they could buy Tesla, or go on a buying spree and gobble up many of their 2nd tier competitors. The problem is they really cant do this nor will they. Apple has roughly $215 billion in cash and equivalents on its balance sheet as of its latest quarterly report. The issue, which many politicians are learning, is that even those who have the most cash cant buy votes (or customers in Apples case). Especially when you cram a new version of the same product down your customers throat seemingly every few months.
Another thing that many investors forget is that Apple has most of this "Cash" overseas. Tim Cook himself has said many times that there is no way he brings the cash back to the states and pays a 40% tax. Nothing wrong with that, and not many would argu...
