General Investing Forum

[nick]

So Apple made a quarterly profit of $51 billion. I know it flies in the face of the valley culture but I'd like to see them do something akin to the oil baron days. Like build a huge monument, buy a politician or two, or maybe donate one quarter's profit to sprint.

no, they had $11.1 billion in profit on $51.5 billion in revenue... not to mention $205.6 billion in the bank (mostly overseas) they could buy sprint,  ATT, or Verizon but why would they?  I would love to see them build out a low orbit satellite network some day.

http://www.makeuseof.com/tag/will-next-phone-use-satellite-internet/    

 

Imagine a day when your phone connects to a low orbit satellite network and can provide coverage over every square inch of the earths surface, this network would be exclusive  to Iphone users and apple would control the entire experience, phone and network.  I am not saying this will happen anytime soon but the wheels are in motion, you can now finance your iphone directly with apple and upgrade every year, next step apple mobile satellite network???  

[cletus]

no, they had $11.1 billion in profit on $51.5 billion in revenue... not to mention $205.6 billion in the bank (mostly overseas) they could buy sprint,  ATT, or Verizon but why would they?  I would love to see them build out a low orbit satellite network some day.

http://www.makeuseof.com/tag/will-next-phone-use-satellite-internet/    

 

Imagine a day when your phone connects to a low orbit satellite network and can provide coverage over every square inch of the earths surface, this network would be exclusive  to Iphone users and apple would control the entire experience, phone and network.  I am not saying this will happen anytime soon but the wheels are in motion, you can now finance your iphone directly with apple and upgrade every year, next step apple mobile satellite network???  

To further put that $205 BILLION in cash that Apple now has in perspective: That is larger than the MARKET CAP for piddling companies like Coca-Cola, Bank of America, Oracle, Walmart, Disney, Chevron

[JimBob]

Sprint rallies almost like clockwork in the days before their quarterly results, then plummets after. Sprint will post good news but it's never good enough to sustain their gains.

Our eternal hope is the clock breaks, and the rally continues!

[nick]

To further put that $205 BILLION in cash that Apple now has in perspective: That is larger than the MARKET CAP for piddling companies like Coca-Cola, Bank of America, Oracle, Walmart, Disney, Chevron

yeah it is remarkable to think of what they could buy, but even more remarkable to watch them buy almost nothing.  of course they had  beats, largest in the history of apple... still "only" $3 billion,  it's a sign that they are focused.

[cletus]

yeah it is remarkable to think of what they could buy, but even more remarkable to watch them buy almost nothing.  of course they had  beats, largest in the history of apple... still "only" $3 billion,  it's a sign that they are focused.

Well, focused on not paying their share of taxes to bring the money into the US at least.

[nick]

Well, focused on not paying their share of taxes to bring the money into the US at least.

yeah, i agree they need to pay... but they are not alone...

http://www.bloomberg.com/news/articles/2015-03-04/u-s-companies-are-stashing-2-1-trillion-overseas-to-avoid-taxes

 

this is a little old March 4, 2015 but is does a good job, even if the numbers are old.

[cletus]

yeah, i agree they need to pay... but they are not alone...

http://www.bloomberg.com/news/articles/2015-03-04/u-s-companies-are-stashing-2-1-trillion-overseas-to-avoid-taxes

 

this is a little old March 4, 2015 but is does a good job, even if the numbers are old.

Yep, they are all waiting on that sweet sweet tax holiday.

[nick]

Yep, they are all waiting on that sweet sweet tax holiday.

yeah i hope not, the one in 2004 didn't work out very well....

http://www.wsj.com/articles/SB10001424052970203633104576623771022129888

 

"The report noted that Pfizer had the single largest share of the repatriated profits, bringing home $35.5 billion in foreign earnings, while also cutting 11,748 U.S. jobs between 2004 and 2007. Similarly, IBM brought back $9.5 billion, but cut 12,830 jobs, the report stated, citing answers from the companies in response to its questions."  cut jobs, increased executive pay and massive stock buy backs, all while laying off tens of thousands of people... not a great plan for the majority of the population.  

[foofoo982]

I would think that negative deposit rates in the EU will begin to impact MNC cash holdings, likely before any tax holiday here in the US. Will be interesting to see how long there are negative rates in the EU. The big question would be whether companies will react to negative rates and use cash for acquisitions, or actually pay taxes and use it for dividends/share buybacks.

[JimBob]

Sprint rallies almost like clockwork in the days before their quarterly results, then plummets after. Sprint will post good news but it's never good enough to sustain their gains.

You win again this time.

 

Sprint's stock has been pummeled the past ten days, dropping 20%! 

[trojanman05]

You win again this time.

 

Sprint's stock has been pummeled the past ten days, dropping 20%! 

 

And just reading today it looks like a majority of analysts have downgraded S over the past week from buys to hold, and price targets ranging anywhere from $3.50 to $5.25, with an average of $4.32.

 

I've sold groupings of my S stock over the course of the past few years for profit, but still have that last handful I've been waiting to sell. Easily my worst performing stock. On the other hand, one of my blue chip stocks is up about 72% since I bought 5 years ago 

[mittenmitten]

Now watch Sprint rally 50 cents in a day for no apparent reason

 

This happens every time

[JimBob]

Another negative day for Sprint's stock (back in the upper $3 range) as investors bail on Sprint's downward revised earnings outlook.  However, I believe there should be cheer that the leasing facility set up by Softbank and other lenders is now live and infusing Sprint with a cheap $1.1 billion loan.

[markjcc]

Does the stock value even matter if 85% or so of the company is owned by Son?

 

 

Sent from my iPhone using Tapatalk

[S4GRU]

Does the stock value even matter if 85% or so of the company is owned by Son?

 

 

Sent from my iPhone using Tapatalk

 

I would say that the owners of the other 15% certainly think so.

[markjcc]

Lets say it's possible Sprint will file for Chapter 11, What will happen?

[WillM]

Lets say it's possible Sprint will file for Chapter 11, What will happen?

Most of the times the company will issue new stock after they reorganize leaving the old stock worthless.

 

Just out of curiosity I looked at a 30 year chart of S. Ain't pretty.

[sbolen]

I'm considering bailing on the majority of my S holdings once/if we get back into the 4.50 range. My money would be better invested somewhere else once I hit a break-even. 

[JimBob]

 

I'm considering bailing on the majority of my S holdings once/if we get back into the 4.50 range. My money would be better invested somewhere else once I hit a break-even. 

 

I have the classic case of looking backwards in wishing that I had sold some holdings when the price hit $5 a month ago, but told myself to wait for closer to $6.  The debate will no doubt restart as the stock fluctuates back to $5 again in a month or two.  

 

But you are right in that investing in Sprint has resulted in a great deal of dead money the past two years. 

 

http://www.investopedia.com/terms/d/dead-money.asp

[Ascertion]

I'm considering bailing on the majority of my S holdings once/if we get back into the 4.50 range. My money would be better invested somewhere else once I hit a break-even.

I think I'm in the same boat. Bought a ton at $2.80. But I won't break even from my initial investment until it hits a little over $5. I'll put my stock in something else once this happens.

 

Sent from my Nexus 5X

[luvixuha]

 

I'm considering bailing on the majority of my S holdings once/if we get back into the 4.50 range. My money would be better invested somewhere else once I hit a break-even. 

 

Why would you hold the dog instead of taking a capital loss and investing that money in a more worthwhile stock that could produce a higher return? You are falling victim to sunk costs.

[JimBob]

Why would you hold the dog instead of taking a capital loss and investing that money in a more worthwhile stock that could produce a higher return? You are falling victim to sunk costs.

I have fallen victim to dollar cost averaging;  bought more shares at $3.53 this past Friday.  

[JimBob]

Sprint's short interest has skyrocketed 327% over the past nine months. 

 

http://seekingalpha.com/article/3753536-sprint-short-interest-continues-to-skyrocket

[Trip]

Holy misleading charts, Batman!

 

- Trip

[Ascertion]

Sprint took a beating the last week or so.  Maybe people trying to recover from the Christmas shopping all selling at once?  Regardless, I'm probably going to sell soon.  Hopefully it'll return to above the $5 mark.  Looking at Netflix stock and it appears to have almost tripled in value in 2015, alone.