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Apple hits all-time high on news of Buffett buying 75M shares

25 points by john58 8y ago

deleted 8y ago
[deleted]
macawfish 8y ago
I'm gonna have to disagree with Warren Buffet on this one.
- Forge36 8y ago
  I'd like to disagree with him, however his track record shows he's much better at this than me. He also has a history of going long. What do we know about Apple which would make them a bad investment/worse investment over another company?
  - Maultasche 8y ago
    I suspect that he sees that Apple has a lot of customers who don't want to move away from the Apple ecosystem, that Apple products have large profit margins, and that Apple has a huge boatload of cash and keeps making more. Apple's products occupy a different market segment rather than competing directly with all the low-margin hardware companies such as HP and Dell. It appears be the sort of company that in the worst case will slowly fade in profitability over time as its loyal customers drift away and it whittles away at its cash reserves, giving plenty of time to slowly reduce the stake in the company. In the best case, it will continue to build its huge cash pile.
  - macawfish 8y ago
    Honestly, you might be right, especially in that having Warren Buffet as an investor could actually give Apple some long term wisdom. And Apple probably has some growth in it still. But I do have some credentials here. My track record is having told my mom to buy AAPL in 1998 before the iMac even came out :p She didn't listen because her financial adviser thought it was too risky! But as a kid, I understood the market and recognized it was undervalued. My hunch now is that Apple's recent direction has been utter trash garbage. And the culture that made Apple what it was is dwindling fast. They're getting pretty close to "sell high" and will have some major reckoning to do before they get back on track. edit: Seriously, look at this video about the butterfly switch keyboard: https://www.youtube.com/watch?v=dgc69MAdYE0 https://www.youtube.com/watch?v=dgc69MAdYE0
    - earenndil 8y ago
      > My track record is having told my mom to buy AAPL in 1998 before the iMac even came out :p So...you guessed that a company would get much bigger later on and that one company did? That's not much of a track record. Warren buffet does have a track record. He's done this not once, but dozens of times. And his billions speak for themselves, where are yours?
      - macawfish 8y ago
        That's why I wrote ":p", I'm teasing! I was 12. I stand by my opinion though. Apple is losing touch.
        earenndil 8y ago
        Ah ok, I must have missed it, sometimes hard to tell over the internet. And, FWIW, I would agree with you, except I find it hard to believe that as many people as are invested in apple, with all the money they have, are so stupid to throw it away.

25 points by john58 8y ago

deleted 8y ago

[deleted]

macawfish 8y ago

I'm gonna have to disagree with Warren Buffet on this one.

Forge36 8y ago
I'd like to disagree with him, however his track record shows he's much better at this than me. He also has a history of going long. What do we know about Apple which would make them a bad investment/worse investment over another company?
- Maultasche 8y ago
  I suspect that he sees that Apple has a lot of customers who don't want to move away from the Apple ecosystem, that Apple products have large profit margins, and that Apple has a huge boatload of cash and keeps making more. Apple's products occupy a different market segment rather than competing directly with all the low-margin hardware companies such as HP and Dell. It appears be the sort of company that in the worst case will slowly fade in profitability over time as its loyal customers drift away and it whittles away at its cash reserves, giving plenty of time to slowly reduce the stake in the company. In the best case, it will continue to build its huge cash pile.
- macawfish 8y ago
  Honestly, you might be right, especially in that having Warren Buffet as an investor could actually give Apple some long term wisdom. And Apple probably has some growth in it still. But I do have some credentials here. My track record is having told my mom to buy AAPL in 1998 before the iMac even came out :p She didn't listen because her financial adviser thought it was too risky! But as a kid, I understood the market and recognized it was undervalued. My hunch now is that Apple's recent direction has been utter trash garbage. And the culture that made Apple what it was is dwindling fast. They're getting pretty close to "sell high" and will have some major reckoning to do before they get back on track. edit: Seriously, look at this video about the butterfly switch keyboard: https://www.youtube.com/watch?v=dgc69MAdYE0 https://www.youtube.com/watch?v=dgc69MAdYE0
  - earenndil 8y ago
    > My track record is having told my mom to buy AAPL in 1998 before the iMac even came out :p So...you guessed that a company would get much bigger later on and that one company did? That's not much of a track record. Warren buffet does have a track record. He's done this not once, but dozens of times. And his billions speak for themselves, where are yours?
    - macawfish 8y ago
      That's why I wrote ":p", I'm teasing! I was 12. I stand by my opinion though. Apple is losing touch.
      - earenndil 8y ago
        Ah ok, I must have missed it, sometimes hard to tell over the internet. And, FWIW, I would agree with you, except I find it hard to believe that as many people as are invested in apple, with all the money they have, are so stupid to throw it away.