Apple (NASDAQ: AAPL) is an absolute must-own stock, recession or not. The company is growing its business at a time when others are retrenching. It's the best of the best, and there is more growth to come.
Apple continues to see penetration in the personal computer market as its products are more desirable to former PC users. Its innovations with iTunes and the iPhone have changed markets entirely.
What investors fail to realize is that a recession is not the death of innovation. In fact, one could argue that out of difficult times come the best innovations. I fully expect more unique products from AAPL as time goes by. This recession will not slow them down in the least.
Not even the health issues of founder Steve Jobs will prevent this company from doing well. AAPL is a recession-proof stock to own no matter who is at the helm.
Click here for the full list of recession-proof stocks.
Jamie Dlugosch is a contributor to InvestorPlace.com.
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Reader Comments (Page 1 of 1)
3-28-2009 @ 3:27PM
Beltway Greg said...
Precisely. It took a depression and the illness of Steve Jobs to slow them down. All of the other companies were derailed by Apple. Big difference. Check the stock's action before America, Inc. almost went under. The latest ads from Microsoft are insipid. Here's the deal. The Mac ads are tongue-in-cheek. The Microsoft ads only serve to reinforce Apple's message. Dull company, dull products, dull message that's borderline copyright infringement. Good work guys. Did you actually hire an ad agency for this?
3-28-2009 @ 4:30PM
TaurusTrader said...
Recession or not, AAPL is THE stock ... now and for near future! It has more legs to run! Again, Steve Jobs or somebody else in charge ...
TaurusTrader
http://taurustrader.wordpress.com
3-28-2009 @ 6:24PM
ManicDVLN said...
LOL, recession proof stock? Uhh check where it was 6 months ago, and check what the stock price is now. Far from being recession proof. We already know many of the blog writers own apple stock. Stop peddling your own damn agenda, we have enough of that on TV.
3-28-2009 @ 7:24PM
david wayne osedach said...
As it looks like the market is bottoming out I am carefully eyeing Apple. How much lower can they go?
3-30-2009 @ 4:38AM
KarlW said...
I'm not sure. Before they announced their latest wave of products, I would have agreed with you.
However, it appears that Apple has no intention of dropping prices at all. I wouldn't expect Apple to start trying to compete with PC makers on price, but I would expect them to bring their products back down to Earth.
Apple's margins are high enough, and their cash reserves deep enough, that they can afford to experiment with increasing sales volume, or experiment with a low-cost high-volume version of one of their products (such as making the $899 17" iMac, currently available only to education suppliers, available to the general public).
Didn't Steve Jobs say that their MacBook, their cheapest laptop, was their best selling notebook ever? Take the hint, Apple: People love your products, and will buy them if you are willing to sacrifice some of your exorbitant margin.
3-30-2009 @ 8:48AM
Beltway Greg said...
People need to remember that there is a difference between the stock price and the business model and frequently one falls behind or exceeds the other based on rational/irrational fears or, in the case of many dot.com companies, promise or potential. When I called for Apple to exceed $260 in 08 I honestly believed I was being conservative. Based on my evaluation I picked Apple to exceed $200 back in Dec. of 06. As far as Apple's business model is concerned it is recession proof but probably not depression proof. We are in a Keynsian depression and Apple has preformed admirably because of quality products and innovation which has fostered an interest that has been described as cult-like. Why has this cult developed? Basically, all of the other companies have been treading water and any media or market interest that may have been directed towards them has been redirected towards Apple. Think of it this way, Apple is the only really hot woman at the party. You do the math.
Beltway Greg apologizes profusely to all of the less than hot women at parties globally. I'm not a PC.
3-31-2009 @ 2:43PM
Beltway Greg said...
And hot men too if that's, as the kids say, the way you roll or you're a woman. Remember your mileage may vary.
You furry people are a little strange and of of course don't even get me started talking about those Japanese folks who dress up like kids. And BTW, did you ever notice how Geisha girls like look the dead? Hey, it's just an observation. Whatever works in regard to stimulating your own economy. Don't ask; don't tell. Ask the Vatican its always worked for them.