Tag Archives: AAPL

I Am Not Sure I Want Amazon (AMZN) Stock To Split Though It Appears Predestined Already.

.Anura Guruge December 2014 thumbnail
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by Anura Guruge


Related posts:amazonsubs
>> Amazon Hoverboards ….
>> Prime TV subscription prices.
>>
Amazon Prime is worth it.
>>
 “Downton Abbey”.
>>
 “Mr. Selfridge”.

++++ Search on ‘Amazon’ for other related posts >>>>


amznstocksplit

Click to access ‘MarketWatch.com’ original.


When Netflix (NFLX) and Apple (APPL) split.
Charts from Yahoo finance. Click to ENLARGE.

nflxsplit

aaplsplit


With over 30 years of investing behind me I am now savvy enough to know that stock splits — or even reverse stock splits — don’t change the essential economic or operational dynamics of the underlying company. Splits are essentially artificial and contrived mechanisms to rejig the price of  a stock into a more ‘acceptable’ trading range.

I, as a proud and v. happy Amazon shareholder, expect AMZN to be approaching $800 by March 2016 — and my very active, even frenzied, option trading on AMZN reflects that. SMILE.

And for the last few weeks I have realized, innately, that an AMZN stock split could be likely, as was the case with APPL and NFLX, when the price gets into the $700 range.

But a AMZN stock split does NOT fill me with joy. Yes, even a 3-for-1 split would ensure that I would be able to claim that I own thousands of AMZN shares — and yes, that would further increase my stock option trading options (if you know what I mean). SMILE.

But, after years of pondering, the split-issue I finally have a concrete answer as to why I do NOT like splits of EXPENSIVE stock — like AMZN.

It brings in the WRONG CLASS of investor!

Sorry. It is not a question of being snobbish, it is a matter of safeguarding one’s assets.

At $600 – $700 you can keep away the casual, uninformed (if not totally clueless) retail investor. And that means you don’t get silly gyrations.

At $70 everybody and their dog thinks that they can own 100 shares — and then we get into the knee-jerk, totally irrational trading.

IF you study the NFLX chart, carefully, you will see that the split didn’t do the serious, long-term investors, such as I, any favors — though it made option trading more exciting.

I am fairly resigned to the fact that AMZN will most likely split in 2016. Yes, I will play options like crazy around the split since there will always be the totally meaningless SPIKE in price ahead of and just after the split. Well, you can’t win them all.


After 9 Months Of Abstinence I Had To Take A Bite, Albeit A Very Little One, Of AAPL.

Anura Guruge, June 8, 2013.applebitten767
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by Anura Guruge


Related Posts:
>> No longer own AAPL
Sept. 11, 2013.
>> AAPL, the conspiracy theory …
>>
Jan. 25, 2013.

>> No longer trust Apple …
>>Jan. 24, 2013.


After the split Apple (AAPL) looked somewhat delicious. The last time I had bought AAPL, c. 2007, I had done so when it was below $100. Well it was back below $100 again. Though I hadn’t owned it since September of last year, once I sold it after sextupling (and get you mind of the gutter) my investment (since I had also written a LOT of options against the stock I owned), I still kept an eye on it. The momentum was again in its favor.

I only bought a ‘couple’ of shares. So no great investment. I am keeping an eye on it. I also bought a ‘couple’ of AT&T (‘T‘) stocks at the same time.

These really are my ‘Mad Money’ stocks. Just a ‘couple’ here and there. Not part of my core investment portfolio. I have, in my dotage, stopped being frivolous with the ‘core’. You can only afford to throw away two or three fortunes in your lifetime. As some point you have to buckle down and take this investment thing seriously. But, for the record, I just had to let you know. I again have AAPL.

What a market. Cracks me up. Feel real bad for the folks that got spooked away after the trials and tribulations of 2008 to 2010. Seems SO FAR away.

Twitter IPO Registration: Fidelity Invites Me To Bid, I Did, But Doubt Whether I Will Get Any. I Prop Up The Totem Pole.

Anura Guruge, June 8, 2013.

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by
Anura Guruge


Related Posts:
>> IPO flipping restrictions — Sep. 23, 2013.
>>
ETK called ‘FKU’ — Sep. 12, 2013.
>>
No longer own Apple — Sep. 11, 2013.
++++ Check category ‘Investments’ for more >>>>


twitteripo

Though I have been a customer for over 20 years, and have used them EXCLUSIVELY for all my investing since 2007 (when Schwab unceremoniously booted me out because I responded to one of their surveys saying I would NOT RECOMMEND them) the LAST TIME Fidelity threw a real IPO bone at me was in 2008 — that that was Visa. I think they felt bad for me. They could see how much money  I had lost between 2007 – 2008. ‘V’, of course, was a lifesaver for ME. Thank YOU, Fidelity. I also happened to buy, a fairly large (for me (and that could mean, in IBM talk (which I am a renowned expert at), 2 shares)) allocation of Bear Stearns stock the morning they went belly-up. If not for those two stocks I would be homeless again.

OK, to be fair to Fidelity I don’t apply for that many IPOs. I did apply for VMWare, LinkedIn and a few other ‘biggies’ and never got anything. I did NOT apply for FaceBook. I did not want 100 shares of FB. I did have a bad feeling. I just wanted a few — just to say I participated. So on IPO day, I did buy 5 shares, for ‘FREE’ (i.e., by selling AAPL options), at $38.09. Yes, those are now worth $50. Keeping them just as a joke.

Recently I have started dabbling in IPOs for the heck of it — without any major successes. But, I haven’t lost much money either — always the key criteria for me.

It is possible that like FB Twitter too might tank for awhile after the IPO. So I will not be heartbroken if Fidelity blows me off. I fully appreciate that I am a ‘no-op’, bottom of the totem pole when it comes to Fidelity investors — I am sure I am in the BOTTOM 95% percentile. So, c’est la vie. At least I can say I tried.

Did YOU Know That ‘They’ Now Have IPO Allocation FLIPPING Restrictions?

Anura Guruge, June 8, 2013.

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Anura Guruge


Related Posts:
>>
ETK called ‘FKU’ — Sep. 12, 2013.
>>
No longer own Apple — Sep. 11, 2013.
++++ Check category ‘Investments’ for more >>>>


I used to be an IPO junkie. The very first stock that I ever bought was an IPO of sorts, dear Margaret Thatcher’sBritish Telecom‘ (BT) privatization lottery. I got an allocation, and unlike others, I, as ever, played by the rules, and only submitted one entry. I was hooked. BT, to start with, did extremely well. I then participated in every other ‘British’ privatization IPO: BP, BA, BAA etc. etc. To say I was right in the thick of the ‘dot.com’ mania would be an understatement. It was my life. I consulted for so many of the major players. I was at the Wellfleet office in Burlington the day they went public – though I can’t remember whether they gave me an allocation! I do remember with great fondness that CrossComm, a company that I spent a lot of time with, did put me on their ‘friends & family‘ list and as such I did get an allocation. I am sure I made money on that.

I took part in IPOs by rote. It was the thing to do. Yes, of course, I got burned. But, it was fun. Part of the dot.com mania.

Given that I have been with them since about 1989, though I am but a very small minnow when it comes to assets owned, Fidelity does allow me to bid on IPO allocations. Since I tend to be ‘long’ (though my son the investment whiz of 2013 is trying to cure me of that bad habit) I usually don’t bid for IPOs since I don’t have ‘cash’ lying around.

In 2008 I did bid for VISA (V) and was amazed and jumping for joy when I got an allocation. That and the ‘Bear Stearns‘ stock I bought the day they went BUST ensured that 2008 wasn’t as painful as it was for others.

Recently I haven’t been that fortunate and I had stopped asking. I asked for VMWare and LinkedIn and was overlooked. I didn’t bother with FaceBook (FB). Instead, just for fun, I bought 5 shares, on the IPO day for “free” (i.e., using money from an options call) just to say that I had participated in the IPO of the ‘year’. Yes, those 5 shares are NOW making money after a year.

Until now I have never encountered restrictions on selling IPO shares.

Flipping IPOs at the pop was what you were supposed to do. That how you made the ‘BIG’ bucks.

Last week after I sold the last of my Apple (APPL) stock I looked at the IPO market as a ‘good’ place to invest some of that hard fought capital. Bid on two, got one: ClubCorp Holdings (MYCC).

But, it came with a NO FLIPPING warning from Fidelity. Stopped me in my tracks. Seemed so UnAmerican. You can’t flip IPO shares? What next? You are going to be forced to buy healthcare insurance?

I called. As ever they are very, very nice and helpful. Appears that other brokerages do the same thing too; i.e., protect the major shareholder SELLERS by preventing new owners from dumping their shares.

So here is the Fidelity rules on it. Yes, you can sell BUT then you incur their wrath with a penalty. So, as of now I am going to think twice about asking for IPOs.

Click to ENLARGE.

Click to ENLARGE.

Can YOU Say ‘No’ To An ETF Called “FKU”, Couldn’t Resist XOOM And This Seemed Providential.

Anura Guruge, June 8, 2013.

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Anura Guruge


Related Posts:
>>
No longer own Apple — Sep. 11, 2013.
>> AAPL, the conspiracy theory …
>>
Jan. 25, 2013.

>> No longer trust Apple …
>>Jan. 24, 2013.


As I had said earlier I had to go shopping for stock now that I had sold the last of my Apple holdings. I don’t go shopping for stock that often. I tend to be a long term investor — to my cost, as my son (now a investing whiz) would point out. I also tend to prefer funds since I know that they have better insights into stock that I would ever have.

But, it is always fun to spend a few hours looking around.

Over the last week, given that I do wake up to CNBC ‘Squawk Box‘ in the morning, I have kept on hearing that UK is on the mend (if not ‘the rise’) and that this is a good time to get back into the U.K. I like that. I started investing, thanks to Margaret Thatcher, way back in the early 1980s when she ‘privatized’ the previously government owned ‘British Telecom’ (BT). You had to apply, by mail, for those shares which were oversubscribed to a crazy degree. Suffice to say that the lucky ones, like I, who got some shares made out like bandits. After that I bought every one of the ‘British’ institutions that were privatized and did quite well on each: British Petroleum (BP), British Airways (BA), and British Airport Authority (BAA). So, I wanted in on Britain. Was looking around for mutual funds and ETFs. Found this ETF with the symbol ‘FKU‘. Cracked me up. Was going to buy it just for the symbol! But then old age kicked in. I realized that it would be irresponsible to buy an ETF just because its symbol amused me. So I ended up buying two different ETFs and a mutual fund — for U.K. exposure.

Click for details from MarketWatch.com.

Click for details from MarketWatch.com.

Fidelity informed me that XOOM was doing a secondary offering. I didn’t even know that XOOM was public in the U.S.

I, and actually the whole family, LOVE the XOOM Bollywood commercials. The Willow Cricket Channel used to be jam packed with XOOM ads — and they were fun. I usually FF over commercials — but with XOOM we would REW and watch them over and over again.

Here is one of our favorites — and they also have a longer version of it.

Click to access YouTube video. Check YouTube for others.

Click to access YouTube video. Check YouTube for others.

Well, XOOM is doing well and with those commercials they will continue to flourish. Plus they are in a boom market with the ever growing base of affluent asians. So I didn’t even bother to wait for an ‘IPO‘ allocation from Fidelity.

And now what I think was a bit of serendipity. GoGo Air made a big announcement this morning (Sept. 11). I could understand the potential. I love the name. They are going to offer 60Mbps of Wi-Fi! Wow. That is 4 times more than I can get with TDS. I think I might have to move to a plane!

Click to learn more.

Click to learn more.

For The First Time In 7 or 8 Years I Am No Longer An Apple (APPL) Shareholder. Do Not Trust Tim Crook.

Anura Guruge, June 8, 2013.RottenApple

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Anura Guruge


Related Posts:
>> AAPL, the conspiracy theory …
>>
Jan. 25, 2013.

>> No longer trust Apple …
>>Jan. 24, 2013.


No, I did not sell this morning when it was already down $25+.

I sold ten minutes into the announcement yesterday. I tried to time it and set a market limit. In the end I decided I was just going to pull the trigger rather than wait. I didn’t get the peak but I was within $3 of it.

i did not lose any money. I had bought this batch of AAPL shares in 2005 or 2006 when the price was below $75. I think I have told this story before. I had an 80(+) neighbor (in Gilford, on Varney Point), ex-FAA, WWII POW, named Milt Cram, who, quite rightly, prided himself as quite a stock picker — and he sure did pick them. He used to watch CNBC all day. Around 2005 (or 2006) he told me that he told one of his granddaughters that she should try and buy at least ONE share of AAPL. Got me thinking. I could afford more than one share, so I bought 100. Over the years I wrote a lot of options against that allocation. I also bought more … sold some … bought more. But, I basically rode it up from $75.

Last year I sold 57% of my holdings at around $620. My son, the new stock whiz, gave me grief that I should have sold it earlier. But, I have found to my cost that you can’t invest in hindsight.

I am done. There is no glory in holding AAPL anymore.

We are NOT Apple consumers or users. So, sod it.

Do not trust Tim Crook, he is cooking the books.

I haven’t done any stock picking in ages. My son, who is now in the process of trying to start a hedge fund, has sent me plenty of suggestions.

It was kind of funny, in a sad way, to watch AAPL fall this morning. So glad that I sold.

Apple (APPL) The Only Plausible Conspiracy Theory. Steve Wanted Cook To Fail. He Has. QED.

Dec2013x125

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Anura Guruge


Related post:
>> I No Longer Trust APPLE (AAPL). Results Were Rigged …
>>Jan. 25, 2013.


SteveghostI am not obsessing about APPL unlike some. I am still quids in, and after the roller coaster rides I have had in the market, I am very sanguine about stocks going up and down. This is mere bagatelle. Plus, given that I have finally come to the realization that I will never be rich, I kind of ride with the punches, and I get punched a lot. Plus, the market on the whole, is doing great. Thank YOU, Mr. President.

Tim Cook per his usual, happy, upbeat look.

Given that I listen to CNBC/MSNBC while having my protracted morning cup of coffee, in bed, and then CNBC while I am doing my daily ablutions, I have heard a fair amount of commentary about APPL and the reprobate Cook who appears to be cooking the books. Mad Jim Cramer agrees with me. There was SO MUCH AAPL could have done, on the call, on Wednesday, to prevent the blood bath. They didn’t. They have abrogated their fiduciary responsibility. Mark my word, mark this day. There will be class action suits about this. No, I don’t have the money and no longer the contacts to make that happen. But, I am sure there are others that realize that this was a dot.com era heist.

But, then it came to me in a ‘Road to Damascus’ flash. Yes, of course. Corny Cook is supposed to fail. Steve Jobs’ wanted him to fail.

Steve never recovered from the John Sculley debacle. It scarred him for life, and he was easily scarred, though he hid them well.

He wanted his legacy to shine. Wanted people to say: ‘This would never have happened with Steve‘.

And people are saying that.

Steve, the genius he was, carefully picked Cook knowing that he was, at heart, a duffer and would fail, spectacularly.

He has. Steve, yet again, was RIGHT. Thanks Steve.

I No Longer Trust APPLE (AAPL). Yesterday’s Results Were Rigged. Management Trying To Drive Stock Price Down!

Dec2013x125

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Anura Guruge


Apple and I go back a long time, and we have had, even by my weird standards a very strange relationship.

I have owned AAPL, in various amounts, since 2007 — when my then 83-year old neighbor, who alas died a few weeks later, put the notion in my head that I should buy AAPL when he told me: ‘I told my granddaughter to buy even 1 share of Apple if she could’! He, an ex-FAA airport inspector, was a very shrewd and canny man. It was February 2007, it was cold, there was snow on the ground, and he had come to visit me in his new motorized chair. He was a riot.

So, I really can’t complain about AAPL. In 2007 I bought it for less than $100. Plus, over the years I have played a lot of options on it.

But, we don’t have any Apple products. In 1998, I had 8 Macs in the house and I was a huge proponent of Apple and hated Windows. But, because of some seminars I was doing, where I had to use Windows PowerPoint, I was forced to get a PC. I had stopped using PCs about 5 years ago. Within 18 months I didn’t have a single Mac. I had gone all Windows. I got the kids Google Android Nexus 7s.

I also used to own Pixar shares. I actually bought Pixar shortly after its IPO on the recommendation of an analyst — who used to call me up for my take on networking companies. She was quite good. She pushed IBM when it was way down … like AAPL was. In those early days PIXAR was ‘cute’. They would send shareholders all sorts of goodies, Pixar posters in the main. Nice touch. I had Pixar stock when Disney bought them.

So, I am no stranger to AAPL or Steve Jobs. Plus having worked for public companies and having been a consultant to many during the dot.com boom (and bust), I do know a bit about company results and the games you can play with them. Essentially you always have a ‘drawer’ from which you could pull stuff or into which you slid stuff that you could pull out at a later stage. Plus AAPL has $150 per SHARE in Cash!

They rigged yesterday’s results! Plain and simple. They wanted a $50 drop in the share price. That was very obvious. Yes, I watched the results come out on CNBC at 4:30. They could have stopped the bleeding at a stroke. All they had to mention was that they were raising the dividend, which they should or that they were going to buy back shares. Nothing. They wanted the stock price down. They want it at $450, if not $400.

Steve Cook does NOT, obviously and of course, have the pride, empathy and relationship that Steve had with his company. Steve Cook was just an employee and will always be an employee. He really doesn’t care about the company like Steve did; but nobody could. Plus, he is, as all knew, not a patch on Jobs. I really don’t think he was ever up to the job, in the same way that Sculley was out of his depth when at AAPL.

My son, the new stock wizard doing very well (e.g. buying Google before the results), called around 8:30 pm to discuss the results. This is what I told him.

Unless you have had the ‘joy’ of owning company issued stock options you don’t understand the importance of NEEDING stock prices to fluctuate widely.

Apple management, from top to bottom, new stock options assigned on a regular basis. When you are due for a new batch, you want the stock price down, way down — because the option price will then be set per this low price. Then you want it to go up. The money you make is on that delta. I am convinced that they are cooking the books because of some stock option deal. Remember even Steve Jobs was accused of manipulating his stock options. So to me this is a simple case of the management abrogating their fiduciary responsibility to the stock holders to pad their own wallets.

I am not going to sell my AAPL share right now. I will sell when the panic is over. Yes, I did sell some a few months ago at $640. I should have listened to my son and sold at $720.

So, this is me giving you a heads up. Be very careful, very careful with AAPL. The management is out to screw the shareholders.

Plus here is what I envision. All things Apple, starting with an ‘i’ will go the same way as the Mac. Yes, yes, I know that Macs are doing ‘well’, but that well is relative. I think Android, Samsung and Google will be having apple for lunch in 2013 and spitting out the core.

The BEST thing that can happen to Apple. Google buying them out!