This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

WWJD: What Would Jobs Do?

NEW YORK (TheStreet) -- In this new post-Jobs era, Apple (AAP) has struggled mightily. Well, sort of. While the stock did continue to make new all-time high after new all-time high, all of the glory -- and happy bulls -- were wiped away when Apple tumbled from $705 in September to $385 in April.

It was sort of like a struggling college football team that was once great. Allow me to explain. In our new era of NCAA football, history-rich, polished football universities expect their teams to win. If they don't, they fire the coach. Much like the corporate landscape of top companies, there's little patience and tolerance for average play.

If the new one -- we'll call him Coach Two -- cannot gain traction, they fire him too. He is given little chance to succeed. When Coach Three is brought in, he is able to generate some big wins and strong seasons in his first couple of years. Then all of sudden, he struggles mightily for a few years -- before potentially being fired.

Why does this happen? Well, all too often, Coach Two, who was brought in to turn things around, did not get enough time to recruit his players and implement his system. By the time Coach Three comes in, he can immediately do great things, with great players, ones that Coach Two brought in, but never got a chance to groom.

In other words, the second hire (Coach Three), in this case Cook, came in and carried the company (read: empire) that Jobs built. It worked for a while, as the company raked in record revenue and the stock made all-time highs, but eventually Cook was left on his own. The Steve Jobs coattails were gone.


He had Jobs' recruits (iPod, iPhone, iPad) and was able to have some successful runs. But now it's his turn. Now he needs his recruits (future products) to perform as good -- or better than -- Jobs' recruits did. Otherwise, he'll be fired just like the quick-success-turned-failure college football coach.

Can he do it? Well that all depends on the future pipeline. He aggravated shareholders to the point where David Einhorn, fund manager for Greenlight Capital, actually tried to take Cook & Co. to court The Link to unlock some of the $140 billion dollars Apple had on its balance sheet.

1 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,985.61 +78.99 0.47%
S&P 500 1,972.83 +9.12 0.46%
NASDAQ 4,419.0340 +27.5710 0.63%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs