Eat Fruit

Over the past few weeks Apple (AAPL) has lost around 15% of its stock value. That makes this a good time to buy, and buy big. Apple is a bit price, its around $88/share, but when the market gets back to fundamentals it will climb up over $115/share.

Right now AAPL has 25 billion in the bank, and that is a nice stockpile to fund its research and development operations. While speculation continues about Steve Job's future role in the company, he has created an anti-establishment, anti_Microsoft juggernaut. Some of that R&D money is already paying dividends, like the improved iPod Nano. The new Nano has a great screen, better backlight, and an improved interface.

The other big news out of AAPL is the fact that they are now selling iPhones for less than $200 at Walmart. We believe that if Apple's push into Wal-Mart stores goes successfully, it will be creating a situation "to sell a relatively complex piece of computing to folks who may never have touched a computer, or who didn't think they'd ever want to carry one around with them." Further, this could drive a wedge between Apple and competitors Research In Motion and Palm, as the latter two have so far had a tough time selling their smartphones to non-corporate consumer types, a market which, for the most part, is dominated by Apple.

All of this is bad news for Blackberry and even worse news for Palm. The new Palm Centro has had a big marketing push over the Holidays, but it wont matter. The lack of push technology makes its too inefficient.

Also, a recent demographic shift in smartphone users from corporate users to individual consumers has created a margin issue at Research In Motion. As more than half of RIM's new subscriptions are now coming from consumers, the company now sees its gross profit falling from 45.6% to in the range of 40-41%.

Shares of Research In Motion are now down nearly 3% this week alone. Elsewhere in the sector, shares of Palm are down 3.4% to $3.10 and Nokia stock is also down 3.4% to $14.93. Meanwhile, shares of Apple, which initially traded up as much as 2%, are now up about 0.5% to $86.23.

What goes Down will go back up

For any of our readers who viewed this blog yesterday you will see that we advised you to buy APPLE early this morning. Sometimes with the glut of raw data in our arena, and in a time when 24 hour financial news is available at the push of a remote control, sometimes it all come down to good old fashion common sense. In this case that is what happened.

Apple's stock frequently experiences high volatility, however that is not odd for the technology sector. When Steve Jobs announced that they would cut the price of the wildly popular, iPhone, the markets reacted unfavorably. How quickly we forget, Apple announced today that it has sold 1,000,000 iPhones, more than one month ahead of analyst predictions. Based on that news the bulls came out to run through Silicon Valley.

All signs indicate that Apple will continue to rise, the prices have fallen and customer demand is creeping upward, in spite of hard financial times for many. This is a stock that you can get in for the short term, but it will pay off in the long term as well.

Sir Issac Newton

The goal is to buy low - so buy apple. This week the stock will bounce back from its downturn last week, when it cut the price of the iPhone. There is no reason to think it will stay down, so buy now! Right Now! This is a short/medium term investment.

Buy Sony, Samsung, and Mitsubishi, while they have all dropped, they too will bounce back.

iPod Touch

As anticipated Steve Jobs has done it again. This time he has made the iPod obsolete. When Apple released the iPhone 3 months ago, stores were mobbed! That hype has paved the way for the new iPod Touch. Apple currently sells almost 10 million iPods (in its numerous variations) every quarter. With the Holidays around the corner, expect those numbers to surge again. The P/E ratio of Apple makes it an attractive long term investment and very stable. There will always be a certain amount of volatility, but if you are looking for a "safe" gamble, bet on Apple.

There are a number of sites that will offer much more technical information as well as ipod Touch diagrams. You may want to check out some of the iPods upgrades so you can become with that your kids will wants for Christmas.