$34,852,564,500 - That's How Much BoomBustBlog's Apple Research Was Worth Today!

Reggie Middleton's picture

Yes, $34,852,564,500! That's how much BoomBustBlog Apple research was worth today as Apple dropped nearly 7% out of nowhere (as it gained over 7% for the exact same reason a couple of weeks ago). That's also the amount of money it took to turn the lights on in the hedge fund roach motel. Prepare to see ~240 funds who DO NOT subscribe to the blog start scurrying and scampering about, as per ZeroHedge:


So, you asked for what the research behind the firewall said, and now you have it:

apple puts small

Up 8% one day, down 7% in one day two weeks later... Apple is now comparable in volatility to Greek bonds!!! You know what that means... It may get worse once the pudits wake up and realize that the Apple App Store Has 4x Google Play Store Revenue, But Google's Store Growing Ridiculously 24x Faster! #MarginCompression! You see, the Apple App Store is the glue that holds Apple's customers in house. It's basically the network effect at work at its greatest. The problem is, if you no longer have the largest network, you know longer have the effect. This was clearly articulated last year, see I Absolutely Dare Anyone To Read This And Still Not Consider The Probability (Not Possibility) Of Apple Suffering From Margin Compression.

Subscribers see Apple 4Q2012 update professional & institutional and Apple 4Q2012 update - retail.

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jimijon's picture

AAPL is a market leading indicator.

And the market doesn't know what to do. Apple has the finest brand loyalty which will allow it keep rolling and crushing the competition.

I bought and sold some calls on the massive draft down. And do not want to trade Christmas order watching. 

Then there is the concept of the market reflecting reality. As ZH always seems to preach there is no price/risk reality. It is all illusion. As such Reggie's calls regarding Apple and margin compressions and the glory of all things Google is based on a clock being right twice a day. 

We have just zigged and then just zagged. Where was he when they zigged.

Bastiat's picture


Apple has the finest brand loyalty which will allow it keep rolling and crushing the competition.

Granted there is plenty of irrational brand loyalty.  But that was built on style,ease of use, and solid implementation/usability.  And people were willing to overpay (fat margins) to own their products.  The iPhone has lost it's iconic status.  It's not the coolest, the functional reliablity isn't there and they can't even deliver to the [fading] demand.  They still have plenty of iTunes captives but more are jumping the fence.  I live with an Apple fan and work with a some--I see it happening.  Developers chasing the market into Android apps and going forward they will pile into windows mobile space too.   Apple's got problems:  the Microsoft Surface is getting major attention.  Microsoft out-wows Apple on hardware, first try?  Buckle up. 

iPad min for $429 vs Nexus 7 32gb for $250?  No contest.

Apple still gets an A on their store experience, no doubt.  And the Airbook is still exquisite (though it needs a touchscreen now);  but that's not where the money has been, is it? 

SAT 800's picture

It was a classic mass-mind buying fever price curve; it'll be below $400 with ten days.

GottaBKiddn's picture

Rock On, Reg!!!

Now where are all the hedgie geniuses going to take all their remaining ill-gotten loot, the bond market?

SAT 800's picture

They won't have to worry about the left over crumbs in their formerly wonderful portfolios for very long because of a little item called redemptions; the customers just call up and dump the hedge fund. I suppose they could always get un-employment.

Bastiat's picture

On top of the lame upgrade of 4s to 5, the Apple maps thing was a freaking catastrophe: I mean who is arrogant enough to think they can match Google in mapping -- starting from zero?  So they fire the poor bastard. They should fire the clown(s) who decided to pursue that doomed project, not the poor guy they saddled with it.  Apple stuff wasn't just about style it was about reliable, accessible functionality!  And people use maps!  Stuck on arrogant--bad attitude when your delivery of products goes from stunning to stumbling. 

NotApplicable's picture

Sorry, clowns cannot be held accountable. That's only for the responsible engineer types who are paid to make unicorns shit Skittles.

That's why I only code software that no one will ever use. Clowns are happy, so I'm happy. Meanwhile, a coworker saved the clown's ass recently, making an app in two weeks that worked better than the $250k "solution" they went out on their own to obtain (no bid either), which did nothing but fail. Did this please the clowns? Oh, fuck no, as it made them look bad. So they fired our boss.

Now... just where did I put that home-lobotomy kit?

SAT 800's picture

Sounds about right. I remember the pitched battles between R&D and the bean counters from back in the day when I designed electronics in Silicon Valley; but we didn't know that it would be called that, then. We had a two man R&D dept.; my mentor the head of the dept. ended up by nailing the door shut between our lab and the front office hallway, where the suits hung out. LIterally, with real nails.

Bastiat's picture

Reading your post and N/A's above was like reading Dilbert.

orangegeek's picture

Apple is a hardware company plus itunes and AppleTV.  Their biggest line of revenue is the iphone.


This move is long overdue as is the move of all markets down. 


NASDAQ100 overlaid with AAPL shows interesting correlation.



new game's picture

nice catch, trophy size and mountable...

tax selling reggie? fear of the obvious-an all out horseshit fed/monetary policy; zirp by a million compressed

gains till overhead come crashing down.  W.B. must be worried about his pet insurance companies.

next on deck; insurance companies???

gatorontheloose's picture

is there more 6000+ word-to-say-one-thing research to come or you just going to repeat 'i told you so' on down days? ? 


falak pema's picture

grapple with crapple and google goggling and oggling, we were supposed to be heading to a second american revolution; yikes! 

LawsofPhysics's picture

Was wondering when you would show up to comment on Crapple and your calls.

Frozen IcQb's picture


When all this is over with, many will owe you an apology.