Apple on a Roller Coaster Ride

May 23, 2014

By: Nicholas Ivanecky

Apple Inc. currently trading at $605.01 is about to experience growth in the coming months. Looking at investment firm Piper Jaffray, they have surveyed over 1,000 U.S. customers about their smartphone purchase intent over the next three months and whether they planned on buying last year’s models iPhone 5s/5c. They found out that 34% would be willing to purchase last year’s model as of May 2014. They also noticed that 50% are willing to buy the next generation model iPhone because of previous rumors like 4.7” display with slimmer frame.

This decline for May 2014 is understandable as many consumers are waiting for the next big thing from Apple. Speaking of the next big thing, Apple also has reportedly stated it will reveal new hardware in their WWDC Conference held in San Francisco the coming weeks. This could evidently drive the stock price even higher if it is well-received. Many are speculating an iWatch or revamped version of AppleTV. Regardless of what it is, it could have huge impact on product offerings this Fall. Even the WWDC App from the App Store won’t share any details like “It’s confidential” as taken from this snapshot. Apple is keeping this secret for a big release during WWDC 2014.

However, amid all this exciting news, Apple has lost its branding image to its rival Google Inc. According to Millward Brown’s annual BrandZ study, Google is the world’s most valuable brand company. The study saw Google’s brand rise 40% in just the last year, while Apple’s brand value declined 20%. Hopefully, Apple will have an exciting year ahead with innovative products.

Apple Inc.

Mkt Cap—–521.3B

P/E—–14.46

Product Segments: iPhone, iPad, Macintosh, iTunes

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