| Rath said: Apple are overvalued. They have without a doubt done very well for themselves but they rely on loyalty to a brand and that is something that usually doesn't last forever. |
Actually, Apple is undervalued. Their price to earnings ratio keeps falling and falling, even while they maintain growth of 50-100% year after year.
http://tech.fortune.cnn.com/2011/08/09/apple-is-cheaper-at-353-21-than-it-was-at-78-20/
Current P/E: about 14
Pre- iPhone P/E: about 30
The disparity gets worse if you exclude the value of Apple's cash pile.
Excuses are made about Steve Jobs' health and the threat of Android, but the real reason for the undervaluation is that Apple is growing so fast and making so much money that the market can't even believe it.
"The worst part about these reviews is they are [subjective]--and their scores often depend on how drunk you got the media at a Street Fighter event." — Mona Hamilton, Capcom Senior VP of Marketing
*Image indefinitely borrowed from BrainBoxLtd without his consent.
