Apple, Inc. (NASDAQ: AAPL), the famous name behind the iPod and other nifty tech products, and a company that competes with formidable opponents such as Microsoft Corporation (NASDAQ: MSFT) and Dell (NASDAQ: DELL), issued its Q3 numbers yesterday. Once again, Apple proves itself to be a company that an investor should have owned.

According to Tom Johansmeyer's earnings preview, Apple was supposed to deliver $8.2 billion in sales and $1.16 per share in bottom-line income. It was even thought that Apple might go beyond Wall Street's estimates and make $1.32 per share. Well, investors were pretty pleased to see over $8.3 billion in sales and $1.35 per share in income. Impressive.

Bloomberg is reporting that the SEC is investigating Apple (NASDAQ: AAPL) over disclosures related to CEO Steve Jobs' health.

The case will be nearly impossible to prove and seems unlikely to go anywhere even if investigators do conclude that there was wrongdoing. Because companies are not required to report on the health of their executives -- it's not material in the way that an earnings miss or director resignation is -- the SEC would seem to have to prove that Apple proactively misled investors with its reports on Jobs' health.

But the larger point is this: Who cares? The SEC sat idly by while Bernie Madoff ripped investors off to the tune of $50 billion, and now its poking around in Steve Jobs' pancreas? Give me a break! Shouldn't the SEC be spending its valuable time doing things like oh, I don't know, improving disclosure rules for financial institutions?

I will be shocked -- shocked -- if this little inquiry ends up going anywhere and given how thin on resources the SEC is, it should be left to the class-action lawyers who sue every time a stock goes down.

Apple Inc. (NASDAQ: AAPL) new Chief Executive Tim Cook seems the type who enjoys lurking in the background. For years, he has quietly but effectively undertaken some of Apple's biggest jobs including running the Macintosh business while allowing co-founder Steve Jobs to bask in the spotlight. With Jobs going on leave, Cook will have to step in front of the curtain again.

He ran the show in 2004 when Jobs was treated for cancer. Bloomberg News describes Cook as a soft-spoken yet intense manager who, like his boss, does not suffer fools gladly.

But he is not going to be able to inspire the cult-like devotion of Jobs. Investors are understandably worried.

Jobs' health crisis could not come at a worse time for the Cupertino, Calif.-based Apple. The economy is slowing as are sales of computers. As the Wall Street Journal noted "IDC recently reported that world-wide computer shipments fell in the fourth quarter from a year earlier, the first year-to-year drop in six years." Sales of iPods are expected to decline, an indication of the maturity of the market.

Apple still has plenty going for it. The company's U.S. computer shipments rose 7.5% and its share of computer shipments rose to 7.2% from 6.4% a year earlier. It continues to have a rabidly loyal customer base including me.

But there is going to be a cloud over Apple for as long as Jobs' health is an issue.

Tech giant Apple Inc. (NASDAQ: AAPL) put up some impressive numbers for its fiscal fourth quarter this afternoon as the company saw huge shipments of its iPhone and Macintosh products (wsj subscription required), but did forecast that its first quarter was going to be challenging.

Going into this afternoon's earnings announcement, analysts had been expecting the company to earn $1.11 a share, but the company shattered that estimate with a reported $1.26 per share, accompanied with a revenue jump of 27% to $7.9 billion.

Most of the attention that Apple has received over the past six months has surrounded its upgraded iPhone, the iPhone 3G. During the quarter, iPhone shipments shot through the roof, rising six times to 6.9 million units.

Usually, at the bottom of my posts I disclose that I own Apple Inc. (NASDAQ: AAPL) stock. Over the past couple years, it's been a nice fundamental stock with easy to read technical indicators that have allowed me to add to my retirement account.

But if you're using technicals to get in and out of a stock, you have to pay close attention to what is going on, and my attention was elsewhere during a recent project deadline. Behind my back, the stock dropped from the $170s to the $130s in the space of my busy single month.

My loss could well be your gain. Apple has leapt to a 10.6% market share in notebooks, and Piper Jaffray's Gene Munster expects Apple to show significant year-over-year sales gains with almost 3 million Macs and 11 million iPods. Recent customer surveys of people planning to buy a new computer have 34% interested in a Mac. But the recent general market, as well as fears about Google, Inc. (NASDAQ: GOOG)'s Android phone challenging the iPhone, have depressed the price. I've added to my portfolio at this price, as a result.

But don't take my word for it. Finance guru Jim Cramer also agrees that this recent drop in price makes Apple an attractive bargain:

So the Wall Street Journal and a few blogs reported that Apple Inc. (NASDAQ: AAPL) said Tuesday it has filed a suit against Psystar Corp., a Florida-based company that makes and sells computers that run Leopard, Apple's Macintosh operating system software. The suit was filed July 3.

Apple seems to think that Psystar is infringing its copyrighted computers as Psystar's $600 Open Computer "violates an Apple policy that forbids people from installing Apple's Macintosh software on anything other than an Apple-labeled device."

But according to AppleInsider, "A representative for the company, identified only as Robert [argues] that the Mac OS X end-user license agreement, which prohibits third-party installations of Mac OS X on non-Apple hardware, stands in violation of antitrust laws." Rodolfo Pedraza, Psystar co-founder said in the past to the Journal that his company pays for every copy of the software it sells.

I understand what Apple is so worried about. If anyone remembers the IBM Clones of the 80s, they also remember that very quickly IBM has lost the leadership role in the market for IBM PC compatibles by 1990. It wasn't the end for International Business Machines Corp. (NYSE: IBM) as it derived a considerable income stream from license fees. But Macs are not just hardware, they're software too, and we all know what operating system has dominated those PCs. Microsoft Corporation (NASDAQ: MSFT) Windows has become the global leader.

So other than the fact that Apple has different rules on what can run on its computers, iPods and iPhones, including the strict iTunes/iPod relationship, seem strenuous to the extreme and definitely borderline violating some consumer protection laws, it's also possible Apple may be missing on a great opportunity here. The Journal mentions that No. 2 computer maker Dell Inc. (NASDAQ: DELL) is interested in making such Apple OS capable computers, meaning Apple see sales increase ten fold and capitalize on licensing fees as well as software sales.

Then again, knowing Jobs' strict attention to details, his Alpha personality and controlling nature, I'd say that's likely never to happen.

As Steve Jobs came to the end of his presentation at Macworld, Apple (NASDAQ: AAPL) shares were off almost 6%.

Jobs had little to say to excite shareholders. His announcement that the company had sold four million iPhones to date seems light compared to some analysts' estimates.

Jobs also said the company would cut the price of the Apple TV product. Cutting the price, and presumably the margin, on a product no one wants will not add any money to the revenue line.

Perhaps the biggest mistake Jobs made was to launch the MacBook Air into the teeth of a recession. It may be nice to own the world's thinnest notebook, but who has $1,800? All the people who can't pay their mortgages?

Douglas A. McIntyre is an editor at 247wallst.com.

The media is making much of Apple, Inc. (NASDAQ: AAPL)'s move above $200 and it is a nice milestone. What is much more impressive is that about 20 months ago, the shares were only a bit above $50.

The question for Apple investors now is not how far the stock has come, but whether it can continue the trip. The company is now burdened by expectations which did not exist two or three years ago.

The assumptions on which a continued rise in the stock are based see the iPhone becoming a significant player in the smartphone market, the iPod continuing to sell tens of million of units a year, and the Mac getting well beyond 5% of the global PC market.

The Mac goal may be more difficult than the others. With over a billion handsets sold a year worldwide, the thought that the iPhone could capture 20 million units a year is not extraordinary. And, with a dominant position in the multimedia player market, the iPod is likely to have long-term growth so long as consumers want music and video to go.

But, the computer market is a much tougher nut. Hewlett-Packard Company (NYSE: HPQ), Dell Inc. (NASDAQ: DELL), and Asia manufacturers Lenovo and Acer, are not going to give up the share that they have now, at least not without cutting costs and improving features. Apple may not be able to hold the high-priced end of the market forever.

If Apple stumbles, it is likely to trip over expectations for the Mac.

Douglas A. McIntyre is an editor at 247wallst.com.

This post was part of AOL Money & Finance's Best & Worst of 2007 feature. The voting has now closed and readers have chosen Google Inc. as the company of the year. Be sure and let us know in the comments if you are pleased with this result.

Corporate America, the markets, and Wall Street are lumbering through a so-so year -- one likely to be characterized by mediocre U.S. GDP and earnings performance, along with ample portions of market volatility.

To be sure, no one will confuse 2007 with a peak year during the "Roaring '20s" or even the "Roaring '90s." Still, there were several standout performances, which we summarize in our "Company of the Year" award.

Facebook

Facebook deserves an honorable mention. The online directory shows considerable promise as an online community and networking device. Provided information is kept confidential and is not released or sold to unauthorized third parties, the business model can serve as another meeting room for groups that might not otherwise be able to meet for geographic or other reasons.

It is a tremendous amount of fun when you can get involved with a company early in its growth cycle and just watch it develop while you're invested in it! Apple (NASDAQ: AAPL) just reported its September 30th fiscal fourth quarter results and they were stunning. Not only were the results better than expected, but the guidance going forward is just as strong. Apple is now fast approaching a market capitalization of $160 billion -- now greater than IBM (NYSE: IBM).

Wall Street estimates called for $0.85 per share for the September quarter, yet the company came in at $1.01 per share. Revenues were $6.22 billion and the Street's estimates were at $6.06 billion. Apple's management endorsed a December quarterly estimate of $9.22 billion and earnings per share of $1.42. Although the December quarter is Apple's fiscal first quarter, it is the biggest due to Christmas sales. So what will drive this company to higher levels of growth, profitability and of course, share price?

A solid 40% of Apple's revenues come from the international markets taking advantage of the weak U.S. dollar as local currency transactions are converted into dollars. Such powerful international revenues also mitigate any possibility of the U.S. market slowing down. Apple has not experienced a slow down in the U.S., but in the event our economy does slow, the cushion for Apple is in place.

Well it's harvest season here in New England, and the Macintoshes are ripe. But in Silicon Valley, it looks like Apple (NYSE: AAPL)'s Macintosh brand is the fruit filling in the PC market pie. According to TheStreet.com, Apple's Macintosh is gaining market share.

How much? In the third quarter, Apple's Mac computers accounted for 6.3% of all PCs sold, up from 5.7% a year earlier, according to IDC. This growth means that Apple pulled further ahead of its competitors as it increased its lead as the third-ranked player in the market, a position it took over earlier in the year.

This gain in market share should help Apple when it reports on Monday, as the Macintosh has been accounting for a greater share of Apple's own profit pie. In the first nine months of the company's fiscal year, the Mac accounted for 41% of the company's total revenue, up from 36% during the same time last year.

It's a tasty time to own Apple shares. The question for investors is whether Apple -- trading at a Price/Earnings to Growth (PEG) ratio of 2.6 (on a P/E of 49 and earnings growth forecast of 19% to $4.48 in 2008) -- is ripe for harvest or hot to hold. What do you think?

Peter Cohan is president of Peter S. Cohan & Associates. He also teaches management at Babson College and edits The Cohan Letter. He has no financial interest in Apple.

Visit AOL Money & Finance for more earnings coverage

Was Apple (NASDAQ: AAPL) wrong not to offer its Mac across a broad range of retailers? Instead, the consumer electronics company has elected to sell the machine online and at its few Apple retail outlets.

In the meantime, market leader Hewlett-Packard (NYSE: HPQ) has long sold its PCs at retailers and Dell (NASDAQ: DELL) has made deals with companies like Wal-Mart (NYSE: WMT) an integral part of its turnaround.

The New York Times argues that Apple missed an opportunity. When Microsoft (NASDAQ: MSFT) Vista stumbled after its introduction due to bugs and reluctance of users to upgrade, Jobs & Co. should have sought the widest possible retail distribution for the Mac.

According to Roger L. Kay, president of Endpoint Technologies Associates, the Mac's worldwide market share was 3% as of June 2007. The Times also says that "based on the ratio of Windows and Macs actually in use, no gains can be seen for Apple." While Apple and some industry experts might dispute those figures, the Mac was not widely available at large numbers of retail locations.

Did Apple do the right thing? It might argue that part of its brand is the environment where it is sold. The company has complete control of how the machine is presented on its website. Employees at the ultra-clean Apple stores are experts on the Mac in a way that other retailers would find impossible to match. Apple may have been protecting the Mac brand by keeping it in the best hands.

What is true is that Apple still has only a small share of the market. Only so many people can get to an Apple store and not everyone will buy a computer online. So the company is fighting with one hand tied behind its back.

Douglas A. McIntyre is a partner at 24/7 Wall St.

This post is part of our Money Face-Offs feature. Let us know who you think comes out ahead in this head-to-head match-up, and check out our other Money Face-Off posts.

The technology stories of the 1980s have a lot to do with the dawn of the PC era. IBM was about to license its personal computer technology to the open market (leading to the rising popularity of Microsoft) and Apple's computers were a hit-or-miss proposition with consumers as el-cheapo PCs made their entrance and became the dominant force in many homes and offices. Remember 1,200-bps modems and bulletin boards, folks?

Microsoft's arguably illegal tactics made it flourish in the 1990s under CEO and company cofounder William H. Gates, and the debate continues to this day whether the Windows 3.0 and Windows 95 operating systems were in part copies of Apple's MacIntosh operating system. Suggested viewing: Pirates of Silicon Valley.

Apple seemed dead in the water in the mid '90s, and Microsoft was growing by leaps and bounds. Bill Gates became the richest person in the world on paper (which would last more than a decade), and Steve Jobs came back in 1997 to try and resurrect a floundering Apple that had not done much in terms of innovation or growth under then-CEO Gil Amelio. Gates seemed on top of the world; Jobs, not so much.

"Analysts and skeptics are trying to find holes in the Apple (NASDAQ: AAPL) story," says Toby Smith, editor of ChangeWave Investing. As a result, he says, negative rumors have taken hold, causing a buying opportunity for the Apple "believers."

The stock's recent sharp drop was in part based on a "trading note" which claimed APPL was cutting iPhone production. Meanwhile, he suggests, "Analysts are lying in the bush, trying to find holes in the Apple story and take shots wherever they can. For those of us who know the real deal on AAPL, this provides a great buying opportunity."

He continues, "If there were one rumor out there that holds a little water, it would be the speculation that Apple is about to refresh its line of iPod digital media players. Trust me, this will be a good thing for Apple if it's true, as we can expect a new surge in purchases."