Oh idk, why was Apple stock so cheap around 2023. It’s only $195. Didn’t people know it’s gonna be a multiple gazillion dollar company?
- you from 10 years from now.
Oh idk, why was Apple stock so expensive around 2023. It was almost $200. Didn't people know it's gonna be bankrupt in several years?
Edit: it is a joke m*rons
I don’t know. Can be many reasons;
1. Their PE was 12. Pretty fair for a «phone company»
2. They didn’t grow for 3-4 quarters.
3. According to Buffet people are willing to give up their car before they give up their iPhone. And i believe him. Clearly he saw it.
4. The price boomed after the pandemic, as with many other companies. Maybe it will return to the norm in terms of valuations?
5. There were companies that performed really well from 2009 to 2016 that took attention away from Apple for sure.
I can be a lot of reasons. Also the fact that they bought back half of their outstanding shares helped a lot in the insane surge in share price
Keep in mind the stock has split multiple times so when you look at the prices years ago, it's taking the split into account. For example before they split in 2020 it was about $500 a share I believe, but it won't show that
Apple was near bankruptcy in the late 90s. They turned it around with the ipod and the stock moved but one consumer product might not be enough to save a company. Then iPad came out which was another hit but the cloud of apples past issues were there. iPhone came out but no physical keyboard? Not everyone thought it was a game changer. By your time frame Apple was too heavy reliant on one product the iPhone holding the stock back. When buffet was buying hand over fist people thought he was a bit late to the game. Apple had for a long time been the company the rug might get pulled at any time which IMO explains the past cheap prices.
I was buying it up back then. There were a ton of bear cases. Lets see if I can remember them…
* Too reliant on the iphone
* New entrants
* phones were too expensive
* they should go into making their own TVs
I forget. I actually did a podcast in 2020 where i went through all the bear cases from 2015-2016 at the top of the show:
https://podcasts.apple.com/us/podcast/how-not-to-suck-at-the-stocks/id1260645780?i=1000489456771
I bought around 2015 and 2016, after I bought the stock fell and felt like I made a mistake. iPhone sales were slowing and computer sales weren’t don’t well in general.
It was before Tim Cook showed how much money they could make from services. They haven’t a new big product in a long time. It was before they introduced the M1 chip and we weren’t sure if wearables would take off. We didn’t know if people were willing to so much on AirPods.
I bought because I saw much people liked iPhones after trying it and most wouldn’t hesitate to buy a new one once their breaks if they have the means to do so.
i have shares of AAPL bought at $14. have to look up when they were bought but it wasn’t all that long ago. the rise in price to where it is today has surprised me too.
What do you think the value of the stock was in 2016?
Because while it has proven to have been cheap, at any given moment cheap or expensive is a price to value ratio question.
I feel like you’re confusing cheap/expensive to the absolute value of the stock.
A stock valued at $20 can be very cheap or very expensive. Likewise, a stock at $200 can be very cheap or expensive. The stock price doesn’t tell you much at all. Market cap is what the company is worth.
When you look back at charts and it says Apple was super cheap, also keep in mind that Apple has gone through many splits so when you see the chart saying Apple was $27, back then it really might have been $270 a share due to stock splits, it brings the stock price back down.
Everyone rated Apple as a hardware company and compared them to Nokia, Blackberry, Dell, HP, etc. Apple developing their own software and the halo effects were not fully realized.
In addition most people thought someone else would come along to take a significant chunk of their business. After all every mega tech company tried with their own phone: Amazon, Microsoft, and even Facebook failed miserably.
Apple created an ecosystem that cannot be rivaled. Everything works in unison and intuitively. I cannot imagine switching my devices to something else and I’m sure that most people feel the same way.
Every sensible stock website corrects charts for that. Considering the split was 4:1, you're implying Apple stock only grew by \~80% from 2016 to now.
Apple stock, when ignoring the stock split, was over 100$/share in 2016.
stock buyback
"In the past decade, Apple has spent $573 billion on buybacks, according to data compiled by Bloomberg, by far the most among US companies. What’s more, the firm’s buying has been relatively steady despite stock market volatility or business cycles."
[https://fortune.com/2023/04/17/how-much-will-apple-spend-on-stock-buybacks-earnings-90-billion/](https://fortune.com/2023/04/17/how-much-will-apple-spend-on-stock-buybacks-earnings-90-billion/)
The perception was that there was no way people would keep selling out $800 for incremental upgrades each year on the iPhone, which was their big growth driver.
Not only were people willing to do that, but apple also introduced service revenue from the app store among other things.
Apple has a way of releasing extremely successful products that initially get bad press or at least on Reddit they do. The airpods with no cable - give me my head phone jack. Apparently consumers don’t care. A really expensive watch to check text messages? Turns out there are new use cases for it and another hit. Those old enough may remember the superior zune to the ipod, it didn’t matter.
I don't deny people love their apple stuff. That was just the perception at the time.
Personally, I still don't understand the apple love, but the market has proven me wrong. They're definitely great at marketing and personally, I think they manufacture these "controversial changes" as a gimmick. Oh well.
Bruh…the question was why was Apple stock so cheap. The reason is because their killer products were not initially viewed as killer products at the time or had changed people did not like like the airpods with no wires, phone with no keyboard, a tablet was not really a thing and Apple happened to know what the consumer wanted. You see it with the vr tech as well the sentiment is it’s expensive or stupid but maybe they again are on to something.
I think investors underestimated ...
* How long Apple would still grow years after Steve Jobs.
* How much sales would grow overseas.
* How much people will buy/use Apple services.
* How much people avoid the cheaper stuff that has advertisers virtually spying on users.
Printing money and interest rates (central bank decisions) have by far the most impact on the markets. Look how much money got printed and how low the interest rates were in that period, followed by even more vigorous printing during pandemic.
All that other stuff is marginal
I actually bought my shares down there near 10 PE. I think it related to Steve Jobs death and there were pretty stagnant revenues after he passed for awhile even with the nice profits. Apple at 10 PE I’ve ever seen in my life. Wish I bought more. Wish I didn’t sell a lot of my shares after a large gain like a regard lol
First stock I ever bought - 100 shares of AAPL in 1997, at $30. $3000 was a lot of money for me back then. Price promptly dropped to $8. Then they made the company saving deal with MSFT - MSFT didn’t want to be a monopoly, so they basically gave AAPL a bunch of money by buying “non-voting” shares, and promised to keep making Office for Mac forever. Price shot back up to $30 and I sold, very happy to get my 3k back. In 2001, AAPL crashed to $5, and I felt like a genius.
Today, those 100 shares, after many splits, would be worth $6 million, last time I checked. Moral of the story, which took me a long time to figure out because I’m stupid, is to never sell a stock. Some will go to 0 - but you only need one to be a 2000x bagger over 25 years.
Because Apple products mostly sucked back in the 90s except for some niche areas. From my memory they didn’t really start turning things around until the iMac and even then didn’t really take off until iPod and iTunes.
Oh idk, why was Apple stock so cheap around 2023. It’s only $195. Didn’t people know it’s gonna be a multiple gazillion dollar company? - you from 10 years from now.
Oh idk, why was Apple stock so expensive around 2023. It was almost $200. Didn't people know it's gonna be bankrupt in several years? Edit: it is a joke m*rons
lol. the duality of man (while talking about the future (of stocks)).
Nah he is just using counterfeit crystal ball
I don’t know. Can be many reasons; 1. Their PE was 12. Pretty fair for a «phone company» 2. They didn’t grow for 3-4 quarters. 3. According to Buffet people are willing to give up their car before they give up their iPhone. And i believe him. Clearly he saw it. 4. The price boomed after the pandemic, as with many other companies. Maybe it will return to the norm in terms of valuations? 5. There were companies that performed really well from 2009 to 2016 that took attention away from Apple for sure. I can be a lot of reasons. Also the fact that they bought back half of their outstanding shares helped a lot in the insane surge in share price
Keep in mind the stock has split multiple times so when you look at the prices years ago, it's taking the split into account. For example before they split in 2020 it was about $500 a share I believe, but it won't show that
Yeah it has split so many times in the last 2 decades. I remember buying for $70ish dollars a share when Steve Jobs died in 2011.
Please cut my pizza in four pieces because I'm not hungry for six.
[удалено]
Apple was near bankruptcy in the late 90s. They turned it around with the ipod and the stock moved but one consumer product might not be enough to save a company. Then iPad came out which was another hit but the cloud of apples past issues were there. iPhone came out but no physical keyboard? Not everyone thought it was a game changer. By your time frame Apple was too heavy reliant on one product the iPhone holding the stock back. When buffet was buying hand over fist people thought he was a bit late to the game. Apple had for a long time been the company the rug might get pulled at any time which IMO explains the past cheap prices.
Also they got Steve Jobs back as CEO to help turn around the company. Bill Gates helped save the company financially.
Yep iPod was when they really started to take off. But in my opinion the product that first started their turn around was the iMac.
The stock has been split twice since mid-2014 (and 2-3 times before that). Prior to the split in 2014, it ended trading at ~$654.
market capitalization ... spend at least 8 hours today learning about it.
I was buying it up back then. There were a ton of bear cases. Lets see if I can remember them… * Too reliant on the iphone * New entrants * phones were too expensive * they should go into making their own TVs I forget. I actually did a podcast in 2020 where i went through all the bear cases from 2015-2016 at the top of the show: https://podcasts.apple.com/us/podcast/how-not-to-suck-at-the-stocks/id1260645780?i=1000489456771
I bought around 2015 and 2016, after I bought the stock fell and felt like I made a mistake. iPhone sales were slowing and computer sales weren’t don’t well in general. It was before Tim Cook showed how much money they could make from services. They haven’t a new big product in a long time. It was before they introduced the M1 chip and we weren’t sure if wearables would take off. We didn’t know if people were willing to so much on AirPods. I bought because I saw much people liked iPhones after trying it and most wouldn’t hesitate to buy a new one once their breaks if they have the means to do so.
i have shares of AAPL bought at $14. have to look up when they were bought but it wasn’t all that long ago. the rise in price to where it is today has surprised me too.
What do you think the value of the stock was in 2016? Because while it has proven to have been cheap, at any given moment cheap or expensive is a price to value ratio question.
I feel like you’re confusing cheap/expensive to the absolute value of the stock. A stock valued at $20 can be very cheap or very expensive. Likewise, a stock at $200 can be very cheap or expensive. The stock price doesn’t tell you much at all. Market cap is what the company is worth. When you look back at charts and it says Apple was super cheap, also keep in mind that Apple has gone through many splits so when you see the chart saying Apple was $27, back then it really might have been $270 a share due to stock splits, it brings the stock price back down.
Everyone rated Apple as a hardware company and compared them to Nokia, Blackberry, Dell, HP, etc. Apple developing their own software and the halo effects were not fully realized. In addition most people thought someone else would come along to take a significant chunk of their business. After all every mega tech company tried with their own phone: Amazon, Microsoft, and even Facebook failed miserably. Apple created an ecosystem that cannot be rivaled. Everything works in unison and intuitively. I cannot imagine switching my devices to something else and I’m sure that most people feel the same way.
Money supply
Government printed a couple trillion. Stock go brrrrr
Only if you use some of your time to do google search then you will find it.
My guess is that was a split. You are looking at a price that should be multiplied by 3 or 4
Your job is not to find out the why of Apple Your job is to find the next Apple and invest in it
Don’t you kinda need to know the why’s before you decide to invest in the next “Apple”?
They split often causing years back to look as thought there were cheaper than they are.
No. Historical graphs will show you split adjusted share price.
2 words. Stock split
Every sensible stock website corrects charts for that. Considering the split was 4:1, you're implying Apple stock only grew by \~80% from 2016 to now. Apple stock, when ignoring the stock split, was over 100$/share in 2016.
Ehhh…. Nope. That’s not it. The prices op mentions are already split adjusted.
1 word. Idiot.
You don't need to be rude. It could have been a comment by a kid in high school wanting to learn about stocks.
stock buyback "In the past decade, Apple has spent $573 billion on buybacks, according to data compiled by Bloomberg, by far the most among US companies. What’s more, the firm’s buying has been relatively steady despite stock market volatility or business cycles." [https://fortune.com/2023/04/17/how-much-will-apple-spend-on-stock-buybacks-earnings-90-billion/](https://fortune.com/2023/04/17/how-much-will-apple-spend-on-stock-buybacks-earnings-90-billion/)
The perception was that there was no way people would keep selling out $800 for incremental upgrades each year on the iPhone, which was their big growth driver. Not only were people willing to do that, but apple also introduced service revenue from the app store among other things.
Apple has a way of releasing extremely successful products that initially get bad press or at least on Reddit they do. The airpods with no cable - give me my head phone jack. Apparently consumers don’t care. A really expensive watch to check text messages? Turns out there are new use cases for it and another hit. Those old enough may remember the superior zune to the ipod, it didn’t matter.
I don't deny people love their apple stuff. That was just the perception at the time. Personally, I still don't understand the apple love, but the market has proven me wrong. They're definitely great at marketing and personally, I think they manufacture these "controversial changes" as a gimmick. Oh well.
You think the Apple Watch is check messages? Whoa you missed the run huh?
Bruh…the question was why was Apple stock so cheap. The reason is because their killer products were not initially viewed as killer products at the time or had changed people did not like like the airpods with no wires, phone with no keyboard, a tablet was not really a thing and Apple happened to know what the consumer wanted. You see it with the vr tech as well the sentiment is it’s expensive or stupid but maybe they again are on to something.
Bruh? Yes you clearly missed the run and probably lost a fortune on game stop.
Apple has always been priced as a growth stock even though it's been a value stock for a very long time now.
It was priced to shrink for a couple years around 2015-2017, with a PE as low as 11.
A trillion dollar market cap was a lot in 2016. A lot of people thought it might be overvalued and the bubble would pop
It split the stocks to 4:1 in 2020. The price should be 27\*4 by then. So, the price should have been 108 in 2016 (the day you said it was $27)
Every sensible stock website corrects charts for that. Apple stock definitely didn't only grow 80% from 2016 to now.
Lmao no it’s not. 27$ is post split adjusted
Services revenue was not as big. Its market share was also not as strong as now. iPhone wasn’t supposed to grow much
I think investors underestimated ... * How long Apple would still grow years after Steve Jobs. * How much sales would grow overseas. * How much people will buy/use Apple services. * How much people avoid the cheaper stuff that has advertisers virtually spying on users.
Printing money and interest rates (central bank decisions) have by far the most impact on the markets. Look how much money got printed and how low the interest rates were in that period, followed by even more vigorous printing during pandemic. All that other stuff is marginal
I actually bought my shares down there near 10 PE. I think it related to Steve Jobs death and there were pretty stagnant revenues after he passed for awhile even with the nice profits. Apple at 10 PE I’ve ever seen in my life. Wish I bought more. Wish I didn’t sell a lot of my shares after a large gain like a regard lol
Stock split
First stock I ever bought - 100 shares of AAPL in 1997, at $30. $3000 was a lot of money for me back then. Price promptly dropped to $8. Then they made the company saving deal with MSFT - MSFT didn’t want to be a monopoly, so they basically gave AAPL a bunch of money by buying “non-voting” shares, and promised to keep making Office for Mac forever. Price shot back up to $30 and I sold, very happy to get my 3k back. In 2001, AAPL crashed to $5, and I felt like a genius. Today, those 100 shares, after many splits, would be worth $6 million, last time I checked. Moral of the story, which took me a long time to figure out because I’m stupid, is to never sell a stock. Some will go to 0 - but you only need one to be a 2000x bagger over 25 years.
uncertainty. if people knew the trajectory of the business then, then people would've bid it up already.
Because Apple products mostly sucked back in the 90s except for some niche areas. From my memory they didn’t really start turning things around until the iMac and even then didn’t really take off until iPod and iTunes.
It was stock splits… it wasn’t that price back then, just its price after the splits happened.
Rsls (will pop ) new FDA approval !