Why Calls to Sell Apple Are Premature, but Not Unfounded
Apple investors should know that the chip industry is doing everything it can to make sure Android and Windows smartphone platforms have the best chance of proliferating and growing.
A reader recently wrote to ask me if it's time to sell Apple. It's an interesting question that deserves a full answer, especially as calls of an Apple top are becoming more frequent.
I've articulated my views on selling/trimming Apple (AAPL) in a variety of articles last year, so I'll recap some of my views here.
This actually cleared during a quarterly conference call, and I remember as I was buying stock in the after hours on the way from $50 to $55. I was also very active and aggressive on the shares after FAS157 was relaxed in March 2009. From these points until last year, Apple was my largest position, and I've traded around that large core position possibly hundreds of times during that five-year period.
Conversely -- I want to make sure this doesn't sound like an Apple hate piece. The stock is ridiculously cheap, and frankly I believe Apple is trading below where it should be. I still feel the stock can trade into the low/mid $500s. I have maintained this view for some time now.
Please see my Top 10 Tech Picks for 2012 -- examples are Google (GOOG), Broadcom Corp. (BRCM) and Juniper Networks (JNPR).
See also: Apple: Dismantling a Bearish Argument Against the Tech Powerhouse Read
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