This Day On The Street
Continue to site
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

Apple to $1,000 in 2014

NEW YORK (TheStreet) -- As Apple (AAPL - Get Report) approached $700 in the spring and summer of 2012, I was one of the few voices urging caution, calling out dual concerns:

  • Some investors were getting too emotional, irresponsibly egged on by Wall Street analysts such as Brian White, who had a cutesy $1,111 price target, and Gene Munster, who couldn't stop talking out of his rear with empty Apple TV predictions.
  • Bulls discounted the impact of losing Steve Jobs and replacing him with no confidence man Tim Cook. Cook had to prove, one way or another, that he could produce something along the lines of iPod, iPhone or iPad. Could he win over Wall Street like Jeff Bezos has at (AMZN - Get Report)?

In a March 2012 Seeking Alpha article, I discussed both concerns. Then, one year later at TheStreet, in AAPL Could Burn Emotional Investors, I revisited the subject.

Granted, AAPL is up about 25% since March 2013, but look at the chart, particularly the April and June 2013 crashes below $400. What one person calls dip buying, the next considers anxiety-producing volatility that can trigger sleepless nights, vomiting in the kitchen sink and rash decisions.

In any event, as is often the case in this racket, there's a little bit of "right" and a little bit of "wrong" to assign anybody with not only the guts to publicly express an opinion, but come back day after after in an effort to move the conversation forward. And I'm here to tell you today that the conversation has evolved and progressed.

Must Read: Google to $2,000 in 2014

Nobody Knows It, But iPad Air Changed the Game

Come 2014, AAPL stops being a volatile battleground stock, littered with question marks and misguided talk about the "need" for a bigger dividend or more aggressive buyback. In fact, relative to its 12-18 months' worth of ups and downs, it jogs, in a straight line, to $1,000.

I'm as confident about this move up as I was when I threw a wet blanket on the euphoria as Apple stock flirted with and hit $700.

Here's the deal -- in 2014, we're going to separate the men from the boys.

I flesh out my rationale along these lines in:

Apple Will Disrupt and Destroy When It's Ready (from December 9, 2013)

And ...

No Tablet War: Apple Stock Will Soar in 2014 (from December 19, 2013).

While it's easy to understand how a stock like AMZN can outperform AAPL, there's no explaining how posers, free lunchers and companies with very real question marks do it. I'm not saying these names on the chart on the next page will all crash in 2014 (though a couple likely will). But I am saying AAPL will perform alongside them or better if they somehow manage to replicate their 2013 magic (carpet rides).

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

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
Stocks Under $10

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

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
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $93.74 0.00%
AMZN $659.59 0.00%
BBY $32.08 0.00%
FB $117.58 0.00%
GOOG $693.01 0.00%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs