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All right let's get more now -- on apple and how today's news might impact the stock with talk show and burger taught is managing director of land -- trading.
We're also joined by Victor agreed junior by telephone from Knoxville Tennessee today.
Victor is the editor of swat which is the unofficial apple blog gentlemen welcome to you.
-- let me begin with you so here we go again with Steve Jobs and other medical leave of absence it's.
Worked out okay better than okay very well for apple in the past we had all these new product innovations.
That said Steve Jobs synonymous one in the same with so much of Apple's success house.
If -- could today's news -- setback for the company this time around.
Well there will be a knee jerk reaction clearly expect the stock to probably sell off -- even have.
I additional pressure throughout the day tomorrow however that earnings release does come out after the -- tomorrow and all expectations is that it's going to be very nice so.
Overall over the next 48 hours it will be a little bit chaotic for shareholders.
But moving forward though if there is a sell off tomorrow it's probably going to percent an excellent buying opportunity for picking up additional shares.
Victor -- let me ask you about the way things have been going at apple certainly we've seen a huge jump in this stock price over the last few years.
Great products like the iPad.
It with the Steve Jobs not relate to wishing the -- rolled just think you leave that since you think you'll actually see more of a continuance of what we have seen over the past few months with Tim Cook.
Really handling the operations and Steve Jobs.
Just -- it a very limited role.
-- -- I absolutely think that that's what we'll see we've already seen a bit of a transition already of course.
Jim was at the Verizon event if you were called it while he was on medical leave last time those -- did most of the iPhone 3GS.
And of course he's got a fantastic -- behind him with Scott forestall and John I have also being you know dyed in the wool apple guys from a long time ago.
So I think there's the company's in good shape that they could be an interesting Q and eight -- -- but otherwise I think they're in good hands.
All right it's hot back over -- -- you've been so bullish on the stock you've got a very optimistic price target on shares of apple here's what today's news does to your outlook I know you commented on.
The brilliance of Apple's marketing strategy this culture of secrecy but is -- a little bit -- secret in your opinion on how they're handling Steve Jobs health situation.
And no I do not think so -- tell you why I mean apple has this -- a fiduciary responsibility to its shareholders they had to increase shareholder value.
And they also need to report only key management changes which is exactly what they did they fulfill their obligation.
As far as the seriousness of this -- No I do not believe that's that is relevant to shareholders right now and it its shareholders feel that there's too much risk because insists the succession plan it's not in place right now.
Think granite they may not want to be in this stock but moving forward -- are looking at a company.
That is looking they're they're they're revenue growth as it ended mid 60% out right now.
They they're looking at 25 billion hours in cash they they'll raise their -- earned revenues of 65 billion in and that new revenue just this year.
And they're gonna sell seventy million of those iphones and thirty million ipads I think going forward.
They're still going to be a category killer and they're going to be an -- and -- shareholder value down the road.
Todd would what are you -- your clients as far as apple literally tomorrow I mean if it drops 8% 12% we've seen -- -- somewhere in the 8% range over the last couple times that Steve Jobs either announced the -- that there.
That he had health issues.
It is that what you're looking Eddie looking at even further drop maybe over the next day two days.
Well here's the thing about is looking at the current share price going into the week -- I C dot I I would see that as a buying opportunity.
Now if there is even a drop off because of this news yes -- -- the presents an even greater buying opportunity.
So what they're really isn't whether it sells off any specific percentages kind of be relevant in my eyes because moving forward.
This company continues to be a category killer they have an iPad two coming out in ninety days they're going to sell millions of these things and you'll see that as far as.
It is good that transition -- for progress through two -- 2011.
Probably well under 2012 so.
I'm very bullish on the stock for the next couple years so Victor back on -- -- what's the next big thing from apple we know we are expecting an iPad two right the end of Verizon iPhone.
-- -- what can we expect here.
I think I totally agree with I -- got bad -- is going to be another home run for apple and the iPhone 5 will be coming along again.
Not you know we don't know exactly win by the Verizon iPhone is gonna -- like I take that today you have another -- -- At any hitter process probably with all -- features so I I wouldn't count apple out just because he's taking a -- medical leave.
Would you though still consider apple asset class of many described it in in of itself.
I think I would actually I mean again it's it's all about is back -- candidate -- and but keep in mind the Johnny there's been with the company for a very long time he's been very much the visionary in terms of design.
And Scott forestall came from net.
It was one of the original engineers with Mac OS-X.
Both of these guys are sort of the heart and soul of apple about -- visionary he's got a great back -- game.
-- Todd Victor thank you so much for your insights.
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