@Rocco_TheStreet @jmartellaro You bashed bashed $AAPL and it went up more than $100 bucks. In the long run valuations do matter.— Fazli Erdem (@fazli12345) August 20, 2013Tweets like that suck. Not only because they relay a false perception of reality, but they're horribly imprecise.
@fazli12345 @jmartellaro Separate company from stock ... And I don't "bash" Apple. I discuss the many ways things could go.— Rocco Pendola (@Rocco_TheStreet) August 20, 2013
@fazli12345 @jmartellaro I took the same approach since it was at $704 so I guess that means I'm up $200 in your world.— Rocco Pendola (@Rocco_TheStreet) August 20, 2013You can find the standard reiteration of my position on Apple here. It's not worth repeating. I'm tired of doing it. As tired as the handful of Apple permabulls who refuse to accept anything but the most optimistic Apple proclamations are of hearing from me. Strange they have nothing to say about real injustice, such as ill-advised and, ultimately, retracted $1,111 price targets and such from Wall Street. My role at TheStreet isn't too tell you, routinely, where I think the stock will go. We have plenty of other folks who do fine jobs of that, from myriad angles. I discuss companies, which, clearly, do not always act in perfect synchronicity with their stocks. When I discuss Apple, I investigate the many ways things could go -- some bullish, some bearish, some plausible, some absurd. Inherently, these conversations matter to investors, particularly those with long-term time horizons. As such, the dumbest thing Tim Cook could do is listen to me. Of course, he doesn't. He probably doesn't know most of us -- aside from the most visible and prolific -- even exist. It's not my job to tell Tim Cook to how to run Apple. I'm a critic. As with words such as "rhetoric," we instantly associate primarily negative thoughts with "critic." Sort of the way Fox News has dumbed down the term "liberal." A world without critical thinkers and critical public discourse is, ultimately, a bad one. Especially for investors! You have to check your assumptions and loyalties -- which seem odd to have with relation to a company or stock from an investment point of view -- frequently. That's healthy. And that's one role I attempt to facilitate. That said, there are messages relayed via the media that, at the very least (hopefully) reconfirm what Tim Cook ought to be thinking. To illustrate this notion, let's consider the antithesis of good "advice" for Cook:
August 20, 2013, 1:56 p.m., MarketWatch, Will Apple's iPhone 5C be cheap enough?
For real? Such convoluted logic from a scribe who simply doesn't understand Apple. That MarketWatch headline and piece takes the stance that Apple will make a lower-priced phone with the goal of making it as affordable as it can for as many people as possible. If that's what Apple is doing, many Tim Cook should listen to some of us. Again, replay the lead-up to iPad mini in your head. Lots of folks thought it had to be cheap, said it was going to be, but it wasn't. Thankfully. Because Apple doesn't compete on price. Never really has. Shouldn't start now. That's the advice Tim Cook should take: Don't compete on price. If he does, my concerns that Apple is dead come alive. Again, over at Mac Observer, John Marellaro gets it right as he reiterates his prediction of a premium-priced HDTV/set-top box in one from Apple:
I think the answer has to be that the 60-inch HDTV will offer something that the set-top box cannot, and that's electronic control over the video feed, within the TV, that offers features that an external set-top box, connected via an HDMI link cannot ...
For those people who are ready to replace an older HDTV, this makes the prospect of buying an Apple replacement very attractive ... Apple needs to do something to whet people's appetite, capture their imagination, and nudge them towards its integrated HDTV solution.
So some kind of feature differentiation between these two new products is a must. The features made possible by control over the final display could push many customers away from the the half-hearted, so-called Smart TVs.
A dual product line, an HDTV with enhanced features and a 4th generation Apple TV to capture the rest of the customer base, both with an exciting, new TV viewing experience makes a lot of sense. And it nicely explains why we're hearing rumors, back and forth, about one or the other. The answer could very well be both.Are you listening, Tim Cook? Hopefully, you already know. Follow @rocco_thestreet -- Written by Rocco Pendola in Santa Monica, Calif.