AAPL Apple: Show some love for AAPL

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	David Sachdev
	Washington, DC User since Dec 2009	38
Covers CMG DDD MGM AAPL - Go to Blog
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Show some love for AAPL

The original initiated price of this coverage was $599.00. Over the time span of this coverage, the underlying security paid 3 dividends, comprising 1.5% dividend income.

You all know the justifications - the timing is of course the $45 billion being spent on the quarterly divident and share buyback (10 billion I believe) over the next 3 years.

Opens up AAPL to many mutual funds that could not buy it before because of restrictions that they have to invest in companies that pay a dividend or an RCAP.

Increased buying by these funds before the quarter ends drives us up higher in the short term. Given that there is going to be dividends, this price target could be seen as agressive, but I guess we'll see how much love the market shows AAPL on Valentines Day 2013!

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What People Are Saying...

Ginger Gal said at 3/19/12 12:23 PM Price action was $596.57 11.00 (+1.9%)

Agree on the assessment. I wonder if we will hit $700 this year first. iPhone 5 will be a big factor after the mutual funds buy into it.

Ginger Gal said at 3/19/12 1:22 PM Price action was $599.65 14.08 (+2.4%)

Wonder if GOOG is moving up in expectation that they will follow AAPL's lead and also offer a dividend.

David Sachdev said at 3/19/12 6:34 PM Price action was $601.10 15.53 (+2.7%)

Fast Money today talking about them moving in tandem and said "...now that really adds pressure to Google here to keep up with Apple. Apple is first out with the dividend. Who is going to be the first out with the stock split is the next thing to call"

David Sachdev said at 3/27/12 12:30 PM Price action was $614.44 7.46 (+1.2%)

618 was my target for the end of the week/quarter - and I think if people have money that they wanted to keep safe, moving it out on Thursday and putting it back to work in AAPL after earnings is the safe route.

But with the VIX in AAPL coming down it seems like a nice base has formed in the high 500s

David Sachdev said at 3/28/12 11:48 AM Price action was $618.03 3.55 (+0.6%)

Opted to sell covered calls for April 630 when AAPL hit over 619.

David Sachdev said at 3/29/12 1:42 PM Price action was $609.36 -8.26 (-1.3%)

Nice to see the market behaving as expected. I think a bit of a pullback and a basing here is good for the long term prospects for an up market for the year.

David Sachdev said at 3/30/12 10:38 AM Price action was $602.45 -7.41 (-1.2%)

May be buying back those covered calls soon, although not sure that the decline is done....

David Sachdev said at 4/2/12 11:15 AM Price action was $610.02 10.47 (+1.7%)

Apple earnings on 4/24. A lot to live up to given our huge move since the last earnings only 2.5 months ago, but new price targets at 1,000 out today.

I was heavily overweight AAPL, and I sold some shares at 619 as well as a covered call. Those two actions put me into better balance with this stock ahead of earnings.

I guess I'm cautiously optimistic in the short term, but very optimistic in the longer term.

David Sachdev said at 4/16/12 8:41 AM Price action was $605.23 -17.54 (-2.8%)

Bought to close my 630 calls for under $1. Probably could have let them expire worthless this Friday, but decided to not risk it and take the smaller profit.

David Sachdev said at 4/16/12 2:26 PM Price action was $582.28 -22.95 (-3.8%)

545 looks like the safe level on AAPL to me, course earnings can change all of that.

David Sachdev said at 4/17/12 2:12 PM Price action was $608.92 28.79 (+5.0%)

...and here I was thinking I was being overly cautious closing out my AAPL short calls, and was worried about buying at 581 yesterday. I think this bodes pretty well for support on earnings - but just think, AAPL lost about 40 billion in a week, and then has gained back 25 billion today. Yeah...not logical....so be careful with the money that trade with!

Mike Barkett said at 4/17/12 9:55 PM Price action was $609.70 29.57 (+5.1%)

Those are some ridiculous numbers, when you think about it that way.

David Sachdev said at 4/24/12 4:48 PM Price action was $560.28 -11.42 (-2.0%)

AAPL following the plan beautifully. Reached a nice peak, gave a great chance to sell, and buy back in cheaper, and heading back up the hill!

David Sachdev said at 2/14/13 3:08 PM Price action was $467.01 -0.89 (-0.9%)

Come on...get excited..like a lot! (Since my coverage closes out today....very down)

http://finance.yahoo.com/news/expect-apple-tv-event-march-175238512.html;_y...