I love talking about stocks and there is no hotter stock right now on the market than Apple stock. I picked it as one of the 5 stocks to invest in 2012. It has by far outperformed my expectations and the other stocks that I picked. What’s more, stock analysts and financial magazines seem to think that by looking at Apple’s fundamentals it could be poised to hit $500 mark in 2012.
Before you rush out to purchase a share of Apple, I want to share that looking at Apple stock’s technicals the share price tends to fall just after the holiday season. That means that if I were you I would buy just around Easter to ensure a better return on investment. I am so bullish on this stock that I am tempted to really go all in!
Apple has almost $100 billion in cash alone and this makes even the $446.66 that it closed today seem like a low price to enter. Moreover, there is a possibility of a dividend being paid out and this will make for an even better return. The cash pile of $97.6 billion means that after you do the math, Apple could afford to pay out an astronomic $100 dividend for every share.
Another fact that I want to point out here is that Apple’s revenues were up 73 percent in the quarter that ended December 31, 2011 from a year ago with sales at $46.3 billion almost twice Microsoft’s revenues. Even net income was up and it hit $13.06 billion growing 118 percent and surpassing Google, Inc which has a share price of $569.49. Although Wall Street analysts and investors are skeptical that a company the size of Apple can keep growing at this pace, the fundamental analysis they have done reveals a calculated price of $556 for Apple stock.