Is now the time to Buy Feb AAPL Calls? With the earnings release on Jan 23, I think there's a good chance of an Apple spike.
$550 strike for under $15 doesn't sound terrible to me at this point.
The last 2 years have been "year of the iPad", but I feel like this year was the year where really everyone got an apple device for Christmas. At my wife's family Christmas party (about 30 people) , there were 5 new ipads (all given to people over 45), 2 new iTouchs and 2 Apple TVs.
I don't know how well received their new iMacs were, but the App Store, iPhone 5 and everything China seems to be booming right now.
There is no other company out there that can get Wall St and investors whipped into a frenzy like AAPL. The question is, will they sprinkle any of their magical fairy dust on the 23rd?
A few sources:
http://www.apple.com/pr/library/2013/01/07App-Store-Tops-40-Billion-Dow…
http://www.apple.com/pr/library/2012/12/16iPhone-5-First-Weekend-Sales-…
http://www.comscore.com/Insights/Press_Releases/2013/1/comScore_Reports…
What do you monkeys think?
AAPL is a broken stock right now. I would wait for it to test and succeed the 50 day (555). You can take a little earning speculation if you want some excitement in your life, but I'd do it with a very small percentage of your overall portfolio.
My opinion on Apple is that you need to look beyond current product lines and figure out how much innovation is coming down the pipeline. I'm not certain how much supply issues hurt their iPhone sales in the past quarter but I doubt they will blow out earnings like they have in the past. If your betting on earnings, though, I would advise not buying Feb's but rather go weekly or something around there if your gonna jump in. Apple is quickly reaching a saturation point where you have multiple products for multiple uses all tied into one superb ecosystem which really simplifies things and streamlines your products. I got sucked in, and i'm really not unhappy about it. I like the fact that I can share things seamlessly across all of my devices and that most of the features I want are available and simple to use. My worry is that they, instead of innovating, simply refresh more and more often and quicken their product cycles. I don't think that consumers will be able to bear the brunt of upgrading every 6 months to a new iphone nor will cell phone companies keep subsidizing them going forward.
I'll put it out there that I did buy apple on this swoon but purely because it fell so far so fast and I dumped it on the bounce. I think that with apple if your going to play options play short term and don't risk much because when you talk about buying or selling on earnings reports you might as well ask Red or Black and be done with it.
As a side note to what was just posted above, I agree 100% that it's broken and i'm of the opinion that sentiment is so stratified on Apple right now I don't think now is the time to really deal with it. I'd let it for the algo's to play with. The trillion dollar company calls (platinum coin status) have finally gone away but you don't even get super bearish end of the world sentiment either.
The iPad creeps into Mac market, and the iPad Mini/iPhone creeps into the iPod market. Eventually, they will only be selling a few products.
the volatility for aapl options are sky high. I'd recommend having a credit and not a debit.
Just read this article: http://finance.yahoo.com/blogs/daily-ticker/exact-moment-reason-apple-i…
Barclays analyst quoted: We believe that web services are the next real battleground for Apple and the key for shareholder confidence. One could argue that shares hit an inflection point to the downside when investors realized that the Apple Maps endeavour was a mistake. The maps debacle showed investors how valuable’s Google technology was – how hard it was to replicate – and how Apple may struggle as the world moves beyond iTunes toward cloud-based services.
I agree, Apple without steve jobs seems very 'human' and not like an invincible company that it previously was viewed as. As the most valuable company in the world (september price) apple is under a lot of scrutiny and needs to be perfect...
Apple without Steve Jobs is like a bathroom without a toilet. Useless.
Innovation dies when you put an exec at the helm of a company's creative process.
Cook is a fucking gearhead. They need to move people from design higher up. Otherwise, AAPL $300
That would be a good start
I've been considering the same play (I actually bought some options when it was trading at $570 (my intrinsic value of aapl is $580), then I doubled down and bought some more at $515 with strikes around $600.
If you're an option trader you already know this but def capitalise on any gains sooner than later, that was my fallacy as I watched my profits rise during aapl's last upswing.
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