Betterinvesting members just love to go Apple picking. Apple retained the No. 1 spot this year on the Top 100 List of Companies Held by BetterInvesting Members, a position it assumed a year earlier after moving up two spots in the ranks.
The full list will appear in BetterInvesting Magazine in digital version on March 11 and in print version around March 18.
But as crowded as Apple stores may be — and we were pushing through throngs of customers in our local mall outlet recently — Apple’s polish doesn’t seem so flawless on Wall Street, says Ben Bajarin, for Time’s Tech section, admitting that he’s baffled.
“Apple’s main problem is that it can’t make enough tablets and smartphones to meet demand,” he writes. “In the last quarter, Apple made more profit than anyone by a healthy margin. In fact, at last week’s shareholder meeting, Apple CEO Tim Cook stated that Apple’s revenue grew by about $48 billion dollars, which happens to be more revenue growth than Google, Microsoft, Dell, HP, RIM, and Nokia combined. Then a few days ago, Fortune released its list of most admired companies, as voted by executives and directors from corporate America, and Apple was number one in four major categories. Apple was voted by its peers in corporate America as the most admired company in the world. In essence, Apple’s industry peers voted it the MVP.”
Bajarin calls it a reality distortion effect that’s surrounding Apple’s stock, created by Wall Street and media pundits.
“Apple has a lower P/E ratio than Amazon, Facebook, Google, Microsoft and now Dell, to name a few,” he adds. “I find this baffling and I would challenge any analyst to articulate to me how Apple is not healthier and stronger, competitively, in the long term than many of those companies.”
Apple, meanwhile, is eyeing that area of your arm that one designer calls a convenient piece of real estate.
“Apple has a team of about 100 product designers working on a wristwatch-like device that may perform some of the tasks now handled by the iPhone and iPad,” Bloomberg reports.
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