NEW YORK ( TheStreet) -- Apple ( AAPL) demonstrated amazing predictability based on the chart pattern lately. A few days ago I wrote an article about Apple bottoming. You can read
Stealing Apples While Others Panic to better understand the bottoming process. The quick answer is that investors lose their desire to accept the current price and dig their heels in. Another common name for investors' unwillingness to sell is "strong hands," and that's where Apple is right now. The bulk of investors are not willing to sell because they don't have a better place to put their money. The most common question I'm receiving now concerns Apple's upcoming earnings release. I understand the enthusiasm (some may call it worry), but I caution long-term investors not to get too caught up over one quarter. It's not healthy from a mental or financial point of view. NOK), Research In Motion ( RIMM), Microsoft ( MSFT), and Sirius XM Radio ( SIRI) would love to enjoy. My estimated forward looking operating margins: Apple: Minimum of 30%-33%, but I believe 33-36% is more likely. Nokia: 1%-2% estimated best case, although they may not have any. RIM: 3%-6% estimated best case, but 0%-3% is more likely. MSFT: 28%-32% Sirius: 25%-26% INTC), DELL ( DELL), and IBM ( IBM), and the song remains the same. A drop in margins still leaves Apple as the one to take home. Net margins largely follow the same pattern on a relative basis. Dollar for dollar invested, investors can expect a greater return on investment with Apple than most any other technology company. The price-to-earnings ratio is pricing in zero growth. No one is reasonably suggesting that Apple will not at least have the second best quarter ever if they don't report the best in both revenue and earnings.
Only the very bottom estimates for 2014 (the next fiscal year) suggest 2014 will not turn into a record year for revenue. Yet, as clear as crystal, emotion has taken hold of the weaker hands, and the stock is trading with single-digit P/Es. Intel didn't delight Wall Street with its last earnings report and continues to trade at a higher valuation. Don't get me wrong, I am bullish on Intel, but it's a good example to use since the chipmaker reported a few days ago. RIM and Nokia may move around as the headlines pump and dump the stocks, but in the end, both have massive headwind in trying to gain a real foothold of market share currently occupied by Google's ( GOOG) Android and iPhones. Follow @RobertWeinstein This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.