Financial Author Kirkpatrick: Apple Is an ‘Incredible Buy’ Right Now

Friday, 28 Dec 2012 09:00 AM

By Dan Weil

  Comment  |
   Contact  |
  Print   |
    A   A  
  Copy Shortlink
Apple has lost its luster for some investors, but financial author David Kirkpatrick, who doesn’t own shares in the company, sings its praise.

“I don’t think there’s any fundamental problem with Apple,” he tells Yahoo.

“In fact, Apple’s P/E [price-earnings ratio of 8.5 on a forward basis] is still ridiculously low. It’s still by the far the world’s most popular consumer electronics company. … I would be a buyer of the stock.”

Editor's Note: Use This Single Loophole to Pay Zero Taxes in 2013

Apple shares have experienced a rollercoaster ride this year. They reached a record high of $705.07 Sept. 21 and then plunged 29 percent to $501.23 Dec. 17. The stock has provided a total return of 27 percent this year through Thursday.

“I think it’s an incredible buy at the current value,” he says.

Kirkpatrick, who wrote “The Facebook Effect” and is now CEO of Techonomy Media, a tech-focused conference company, sees plenty of good news ahead for Apple.

He anticipates strong sales for the iPhone, iPad and iPad mini, though profit margins will likely fall amid competitive markets. Kirkpatrick also expects Apple to unveil a TV product in 2013.

Standard & Poor’s analyst Scott Kessler gives Apple stock S&P’s top rating – five stars.

“With Apple's growth expected to exceed that of many of its peers, and considering its substantial cash position, strong FCF [free cash flow] generation and relatively high ROE [return on equity], we see the stock as a compelling value,” he writes in a report.

Editor's Note: Use This Single Loophole to Pay Zero Taxes in 2013

© 2014 Moneynews. All rights reserved.

  Comment  |
   Contact  |
  Print   |
  Copy Shortlink
Around the Web

Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Country
Zip Code:
Privacy: We never share your email.
 

You May Also Like
Around the Web

Most Commented

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved