5 ms·
Why is Apple included though?
by ares623 4mo ago
Why is Apple included though?
- tomrod 4mo agoShare repurchases also aren't great I guess?
- TravisJamison 4mo agoMarkets generally love buybacks. The market is both happy that Apple didn’t spend all its cash on AI build-out, but also at the same time angry that Apple is “missing AI”. Not to mention the grumblings that Apple has peaked.
- symfoniq 4mo agoAnd did you see Apple’s recent price increases?
- eitally 4mo agoMy perception is that the market lumps companies together into sectors whether they have similar business models or not. When one is punished, other associated firms tend to be, too. You see this in any industry (not as a guaranteed rule, but in general).
- DaedalusII 4mo agobecause $100bn annual revenue, high FCF, high margin. Its a monster.
- twoodfin 4mo agoYou can simultaneously believe that the hyperscalers are becoming capital-intensive long-term in a way that’s bad for their profits and that as a result will be raising the COGS of Apple’s business in a way that also hurts profits.