Further.....not mentioned in this short article is the fact that GE just farmed out much of its medical (medical XRay HQ) to China
.......their timing couldn’t have been worse for a company on the ropes.
Link: https://finance.yahoo.com/news/general-electric-ceo-affirms-weak-180905036.html
away. They were the original Amazon. A six hundred page catalog delivers to most Americans every year. I would vote them the biggest US failure to date. Kodak was just to stupid to see the train heading for them. Sears had it all. By the way an interesting fact my career started with Dean Witter.
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These were world class research facilities for companies with incredibly rich pedigrees in the electrical space. It's all gone now.
But, they've been replaced by the Googles, Apples and Tesla's of the world. Life moves on.
GE was one of the last hold-outs of those 20th Century equipment giants. It seems like its been on life support forever.
But they're not gone actually. It is just changed. Today's corporate R&D approach is more commercially orientated. R and D are blurred and long-term research is indeed significantly reduced in the budgets. So, Today's R & D is more looked like r & D, i.e. It's more "development "than "research". Long-term research needs a monopoly company to support, which is hard to have such a company in today market.
That's where the Chinese probably still have a big advantage. They have market and shareholder pressures too, but at a much lesser degree than here.
The measurement process is changing business behavior to short term planning. Companies are willing to sacrifice a lot of long term benefit to prevent missing a quarterly number. I've seen it in person, and it is sickening. If the shareholders really knew, they would not be so happy about making the quarterly numbers many times in a row.
IBM would certainly qualify for that list.
In the not too distant future, every automaker will have a significant electric car component. The only question is which one will acquire Tesla (and at a much lower valuation than Tesla has today, in spite of its recent 50% drop).
If you tell them Tesla stock is inflated, Apple stock is overvalued, they will insult you instead bring ideas, numbers or anything rational to the discussions.
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By what measure is AAPL overvalued? The most profitable company on this planet with a valuation lower than the SP500.
And I didn’t even insult you (yet).
display valued at near 900 billion (and likely will be the first 1-trillion company with its cult support). let me be clear. we're talking about value here, i.e. from value investing perspective.
And rather quickly imo.
AppleTV is a crap product. I’ll take a $40 Roku over a $130 AppleTV any day. IMO, a rare Apple fail.
But let’s not suggest that Apple has done nothing beyond the iPhone. Apple Services (iTunes, iCloud, App Store, Apple Music etc) brought in $10B+ in revenue during the most recent quarter, at over 65% profit margin. If carved out of Apple, Services alone would be one of the most profitable companies in the SP500.
And then there’s the wearables (Apple Watch and AirPods), which are both killing it.
Though I should point out that AAPL critics have been using the 'one product company' line since about 2010. Hasn't worked out so well for them. Maybe it will now.
And so you know, AAPL is already the first trillion dollar company, having reached that level last fall before falling to its current market cap of $840B.
Trading at just over 3X FY18 revenue with a net $130B in cash, I have to say your overvalued argument, so far, is not compelling. Oh yeah, but 'cult'.
release. It just turned out later those products were not success. Apple doesn't make money from them.
find a competent dealership or parts.
Link: https://twitter.com/BenKTallmadge/status/1131280544853970944
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