11-Jan-11 Wells Fargo raised its FY11 EPS estimate to 19.33 from 18.24, and raised its FY12 EPS estimate to 22.89 from 22.42. Maintains an outperform rating on the stock.
11-Jan-11 Jefferies raises Apple target from $365 to $450.
05-Jan-11 Wedbush Securities stats Apple at outperform and $405 target.
04-Jan-11 added to short term buy list with $410 target at Deutsche Bank.
03-Jan-11 International Strategy and Investment Group raises target to $400
03-Jan-11 Oppenheimer raises target to $385
17-Dec-10 Trefis revises target from $400 to $418.
17-Dec-10 Gabelli initiates coverage at Buy with $450 target.
16-Dec-10 JP Morgan Chase raises price target to $420.
16-Dec-10 Kaufman Bros. raises price target to $395.
15-Dec-10 Piper Jaffray raises price target to $438.
14-Dec-10 BMO Capital raises price target from $330 to $355.
14-Dec-10 Morgan Stanley removes Apple from "Best Ideas" list, but maintained overweight rating and "Top Pick".
13-Dec-10 Goldman Sachs ups target price to $430.
10-Dec-10 Beyond Trading downgrades Apple from Strong Buy to Buy - not sure if BT is legitimate source??
09-Dec-10 BofA Merrill rates as buy raises to $420
08-Dec-10 Barclays Capital Analyst Ben Reitzes: Mac unit sales will surge 16% for the quarter ending in December, compared to the same period a year-ago
08-Dec-10 Stifel Nicolaus upgrade $390
04-Dec-10 Ebeling Heffernan Upgrade $400
03-Dec-10 Caris & Co. Upgrade $400
11-Nov-10 Trefis Upgrade $400 / $500
04-Nov-10 Robert W. Baird Initiated Outperform $410
03-Nov-10 Morgan Stanley "bull scenario" August 2011 target = $500
19-Oct-10 Argus Reiterated Buy $375
19-Oct-10 UBS Reiterate Buy $365
19-Oct-10 Canaccord Genuity Reiterated Buy $421
19-Oct-10 ISI Group Reiterated Buy $370
19-Oct-10 Kaufman Bros Reiterated Buy $380
15-Oct-10 Hudson Square Upgrade $500
12-Oct-10 Barclays Capital Reiterated Overweight $385
08-Oct-10 Oppenheimer Reiterated Outperform $345
05-Oct-10 Jefferies Initiated Buy $365
04-Oct-10 Ticonderoga Initiated Buy $430
Tuesday, January 11, 2011
Sunday, January 9, 2011
Options Monday: Back in the AAPL again
Well, last week’s Option Monday is going to be a tough one to beat. GM was a ten bagger and the AAPL 310’s were up over 60%. I took profit in GM on Thursday as $39 is my short term price target for the stock. I sold half of the 10 AAPL JAN 22-11 $310.00 CALLS and rolled the proceeds into 5 AAPL JAN 22-11 $330.00 CALLS at $11.05 per. I wanted to lock in some gains from the AAPL trade while maintaining my bullish position. This week will be more of the same as I play AAPL’s upside into earnings.
When an investment looks too good to be true, it usually is. After all, there’s always cheddar in a mouse trap. For this reason it is prudent to look at every investment with a healthy dose of skepticism. In trading, for someone to make money, someone must lose money. There is no free lunch.
But most of the time investors overcomplicate things. They don’t see the forest for the trees.
I believe this is the reason AAPL is severely undervalued by the market. People look at the share price ($336) and immediately get worried. How can a company that makes MP3 players, Phones and over priced computers be the second largest company in America? What happens when the trend inevitably fades? Quite simply, who cares?
I don’t care if AAPL is making touchpad Shake Weights 10 years from now. All I know is it has momentum and the fundamentals that make it as excellent short term option play.
Forward Cash Adjusted Price to Earnings: 13.43
Forward PEG Ratio: .77
Price Target Summary | |
Mean Target: | 374.61 |
Median Target: | 375 |
High Target: | 500 |
Low Target: | 165 |
1 Year | 3 Year | 5 Year | |
52.02 | 38.45 | 36.17 | |
66.91 | 56.81 | 57.7 |
These numbers are simply ridiculous for a company of AAPL’s size. Applying an average market multiple to one of the greatest growth stocks in the world is downright cowardly. Cowards don’t make money, they use bank accounts.
Even the chart is telling you to buy:
The current run up into earnings has happened the last three quarters. The Verizon catalyst is simply fuel to the fire. The 20YM plans on AGGRESIVELY attacking upside AAPL Jan and Feb calls starting this week. I will sell at least 75% prior to earnings on the 18th. This might be the quarter that AAPL springs after earnings, but no need to be piggish. This will be the biggest quarter in AAPL’s history, but the market likes to take profits.
It’s not often that the market offers such a great company at such a deep discount. Get in while you still can.
Best of luck,
Craig Mack T20YM
Sunday, January 2, 2011
Option Mondays: GM and AAPL
I have gotten away from the T20YM Option Monday report over the last few months. The main reason was that most of my trading capital was wiped out with the GOOG debacle. I have tightened my belt and scratched back to a place where I feel comfortable dipping my toes in the Options Market again.
Last month I was focused entirely on the Financial Services/Banking recovery. I was lucky enough to buy 11.50 LEAP on BAC and took a handsome profit on its run up. I was also in early on HBAN’s modest recovery. JPM and WFC both worked nicely and I turned these trades into 60%-70% gains. I am out of the banking sector for the time being, turning my attention some more current market movers.
General Motors: 10 GM Jan 22 '11 $38 Call at .15c per and 10 GM Feb 19 '11 $35 Call at $1.75 per.
It’s not often when a iconic American company is initiated at a buy by 7 different firms on the same day. Not only that the median price target was set at $45. This is the type catalysts that will drive a stock price up for a few weeks- especially at year end for MM window dressing. I expect the stock to run up again next week on heavy volume. I will hold the Jan 38’s until week end and the Feb 35’s into Feb.
Apple Corporation: 10 AAPL JAN 22-11 $310.00 CALL at $17.30 per.
Unless there is a complete market breakdown, I suspect AAPL will have a substantial run up into next earnings report on Jan 18th. Considering we have FIVE straight days of POMO starting on Monday, I don’t think we will be breaking down. This will be the biggest quarter in AAPl’s history. Additionally, we have the Verizon catalyst that should come early/mid next week. I believe most of this is priced in, but it should have another spark for the stock. Other than the share price, AAPL is unbelievably cheap. I will add some Jan 330’s if we move higher on Monday and Tuesday. I plan on selling at least half the position before earnings to avoid Premium Suck and profit taking.
I will have my eye on a few small cap precious metal companies as well. Looking to add LEAPS on a few different names. Will post updates as they arrive.
Happy New Year…
Craig Mack
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