"A friend of mine at Apple reminded me yesterday that they made 300m on just the interest of their war chest. A few years ago, they were having trouble making t

"A friend of mine at Apple reminded me yesterday that they made 300m on just the interest of their war chest. A few years ago, they were having trouble making that much just on their products." That's evidence that they'll stick around, but it's a bad sign when a company makes most of their money from depositing cash in the bank. It's irrational to value $1 of Apple-cash at much more than $1 if the main selling point is that they won't spend it: you can do just as well putting your own money in the bank, and save the brokerage commission.