Believe me, I’m a huge fan of Apple (AAPL, Financial). Not just its amazing products (I own an iphone and ipad) but the stock. I called those who didn’t hold it crazy, put it at the top of my technology rankings, picked it several times in long & short tech stock picks and as one of my 4 picks for the stock picking contest (which I currently lead thanks to that pick). Still though, I can’t say that I feel as convinced when I see this:
Kindle tablets
Audible.com
Zappos
Windows Operating System
Office suite
xBox
Bing.com (2nd most popular search engine)
Google.com (top popular search engine)
Google docs software
Android mobile O/S
Motorola
Google+
Google’s vast projects
Facebook (top social network)
Instagram
Etc, Etc, Etc
Or
iPhone
iPad
Macbook
iPod
Etc
Don’t get me wrong, those Apple products are amazing, they dominate their markets for the most part, they continue to grow and there are projects for Apple to launch its anticipated Apple TV. All of that being said, simply looking at it, it’s difficult to imagine that I could pick Apple if I were given the choice between those 2.. How about you?
Then the charts:
It’s quite interesting. In all but the last 2 quarters, the group has outperformed Apple in terms of income while Apple only beat on revenues once. So my question to you is quite simple. Which one would you pick. Would you buy Apple or Google+Microsoft+Facebook+Amazon. I personally could not pick Apple in such a case… does that mean Apple is overvalued? Or are some (or all) of the others undervalued?
AAPL > MSFT+GOOG+AMZN+FB
That is how those companies are being valued in the markets right now. Would you prefer owning Apple of all of those? In other words,What group of products & teams would you prefer between these two:
Amazon.com, the world’ largest online store and emerging distribution powerhouseKindle tablets
Audible.com
Zappos
Windows Operating System
Office suite
xBox
Bing.com (2nd most popular search engine)
Google.com (top popular search engine)
Google docs software
Android mobile O/S
Motorola
Google+
Google’s vast projects
Facebook (top social network)
Etc, Etc, Etc
Or
iPhone
iPad
Macbook
iPod
Etc
Don’t get me wrong, those Apple products are amazing, they dominate their markets for the most part, they continue to grow and there are projects for Apple to launch its anticipated Apple TV. All of that being said, simply looking at it, it’s difficult to imagine that I could pick Apple if I were given the choice between those 2.. How about you?
Take a look at the financials of these companies. First the data:
| Ticker | Name | Price | EPS | PE Ratio | PE Next Year | Return YTD | Sales Growth | Analyst rating | Book Value | Beta | Market Cap |
|---|---|---|---|---|---|---|---|---|---|---|---|
| AAPL | Apple Inc | 675.68 | 28.05 | 15.59 | 12.53 | 64.46 | 65.96 | 4.65 | 119.23 | 1 | $633,386,500,000.00 |
| MSFT | Microsoft Corp | 30.69 | 2.02 | 11.15 | 9.18 | 20.07 | 5.40 | 4.46 | 7.92 | 0.9 | $257,286,453,125.00 |
| GOOG | Google Inc | 669.22 | 30.17 | 19.93 | 13.77 | 5.07 | 29.28 | 4.61 | 199.21 | 0.99 | $219,516,406,250.00 |
| FB | Facebook Inc | 19.15 | 0.52 | 42.19 | 30.37 | #VALUE! | 87.99 | 3.94 | 3.22 | N/A | $46,254,289,062.50 |
| AMZN | Amazon.com Inc | 243.92 | 1.39 | 273.04 | 59.91 | 41.96 | 40.56 | 4.27 | 16.6 | 1.2 | $110,267,757,812.50 |
| Total | $633,324,906,250.00 |
Sales:
| CQ4 2010 | CQ1 2011 | CQ2 2011 | CQ3 2011 | CQ4 2011 | CQ1 2012 | CQ2 2012 | |
|---|---|---|---|---|---|---|---|
| AAPL | 20343.00 | 26741.00 | 24667.00 | 28571.00 | 28270.00 | 46333.00 | 39186.00 |
| MSFT | 16039.00 | 16195.00 | 19953.00 | 16428.00 | 17367.00 | 17372.00 | 20885.00 |
| GOOG | 8440.00 | 8575.00 | 9026.00 | 9720.00 | 10584.00 | 10645.00 | 12214.00 |
| AMZN | 12948.00 | 9857.00 | 9913.00 | 10876.00 | 17431.00 | 13185.00 | 12834.00 |
| FB | 731.00 | 731.00 | 895.00 | 954.00 | 1131.00 | 1058.00 | 1184.00 |
| Sum MSFT+GOOG+AMZN+FB | 38158.00 | 35358.00 | 39787.00 | 37978.00 | 46513.00 | 42260.00 | 47117.00 |
Income:
| CQ4 2010 | CQ1 2011 | CQ2 2011 | CQ3 2011 | CQ4 2011 | CQ1 2012 | CQ2 2012 | |
|---|---|---|---|---|---|---|---|
| AAPL | 4308.00 | 6004.00 | 5987.00 | 7308.00 | 6623.00 | 13064.00 | 11622.00 |
| MSFT | 4518.00 | 5410.00 | 6634.00 | 5232.00 | 5874.00 | 5738.00 | 6624.00 |
| GOOG | 2543.00 | 1798.00 | 2505.00 | 2729.00 | 2705.00 | 2890.00 | 2785.00 |
| AMZN | 416.00 | 201.00 | 191.00 | 63.00 | 177.00 | 130.00 | 7.00 |
| FB | 251.00 | 233.00 | 240.00 | 227.00 | 302.00 | 205.00 | -157.00 |
| Sum MSFT+GOOG+AMZN+FB | 7728.00 | 7642.00 | 9570.00 | 8251.00 | 9058.00 | 8963.00 | 9259.00 |
Sales:
Income:
It’s quite interesting. In all but the last 2 quarters, the group has outperformed Apple in terms of income while Apple only beat on revenues once. So my question to you is quite simple. Which one would you pick. Would you buy Apple or Google+Microsoft+Facebook+Amazon. I personally could not pick Apple in such a case… does that mean Apple is overvalued? Or are some (or all) of the others undervalued?
