Hi folks,
How on earth is it Thursday already? We're not sure, but we got to thinking about how much we like you...and we wanted to give you a special treat. So here's Clem Chamber's latest look at Apple stock, the market in general, and what you should do with your shares. Enjoy, and we'll see you back here bright and early Monday morning!
We Did It!
Apple finally did it. It is now more valuable than Microsoft. To stubborn old realists this seems wrong, but to an army of Apple fans and the veteran legions of Apple believers this seems very right.
It may just be the case that the recent stock market correction, which has seen the market "fall out of bed", is the cause of this victory. Apple just hasn't fallen as far as Microsoft in the stock market rout.
Apple's Risen
However nothing takes away from the fact that, long left for dead, Apple has risen and crawled hand over hand from the edge of going out of business to becoming the second largest company listed on Wall Street.
This promotion to number two position of most valued company on Wall Street is remarkable and kind of historic. I promised myself to short Apple when this happened but I will hold off because the market will rally for a week or two and shorting anything will be a bad idea.
On to the Top? I will then buy an iPad and see if it can stay in my hand. However much money there is to be made from it, it will give me no pleasure when Apple at some point descends to more normal valuations. Perhaps in a few months it will take over from Exxon as Wall Street's most valuable company.
It will be silly if it does, but the stock market can be like that and there is nothing that will ever change that kind of behaviour. It must be remembered that traders say: "up like a rocket, down like a stick." This maxim will likely prove true in due course, but meanwhile, long may Apple rock!
Buy, sell or hold? Tell us what you're doing on Twitter!
Clem Chambers is CEO of stocks and investment website ADVFN. For free real-time stock prices go to: www.advfn.com
