Apple Rises to Record: Will Shares Keep Powering Higher?

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Aug. 19 (Bloomberg) -- Apple’s stock closed at an all-time high, surpassing a 2012 record as investors look ahead to new products such as bigger-screen iPhones and a wristwatch-like device that may jump-start revenue growth. Bloomberg's Michael Regan and Adam Satariano take a look at the valuation on "Street Smart." (Source: Bloomberg)

Do you believe his thesis?

What you're saying is anticipation for those new devices.

Particularly the iphone.

There is a new buzz around the new product.

As the iphone goes, so goes apple.

These new bigger screens that are coming out, that has been a big selling point for samsung and these other devices that use android software.

So apple is really -- the analyst are really anticipating that these devices will be a huge hit.

Investors are buying into the rumor, and they will either hold on or sell when the news comes out.

They are spending a lot on rmb, and they are sending a lot on their own stock.

They are buying back dividends.

They are more than halfway through that.

That allows them to boost their earnings per share which is what investors are most interested in.

Even if revenue is flat, as high as 66% a few years ago, that by uyback allows them to prop up where it needs it.

When you think about it am a economically is there real reason for a stock to -- you can say that more people could be brought in.

You have more retail news that will buy it when it is trading under $100. that is what i was going to say.

From a retail investment, you would rather own seven shares of talk than one share -- stock than one share.

But the note had a great point about institutional ownership.

Apple is about two point 3% of the top 100 institutional portfolios.

In the s&p 500 they are about 3.5%. any sort of glimmer of hope of growth that will get those institutions -- i want to share with you something that's the ballmer -- that steve ballmer told me yesterday, he said to look at tech stocks these days.

He says that basketball teams are looking pretty cheap comparatively.

What do you say?

The overall environment for tech knowledge he when you look at house needs some valuations are -- for technology when you look at how steep some valuations are.

Summer doing incredibly well, the apple, google, and facebook's of the world.

And then there are the old guard that are struggling.

Hp, microsoft.

With apple, it is an interesting time we are entering, and it will be fun to watch but we are seeing this big new wave of radek stepanek coming out under the new leadership of tim cook -- products coming out under the new leadership of tim cook.

That is part of the anticipation around it.

Coming up, the market higher

This text has been automatically generated. It may not be 100% accurate.


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