Apple Hits Another All Time High: $422

Sep 20, 2011
J. Webster
Comments Off on Apple Hits Another All Time High: $422

I’m starting to wonder if I’m going to have to post this every other day, Apple hitting a new all time high. Today Apple surged up 10 points to $422 per share, a new all time high. Yes, Apple is a monster of a stock even when the rest of the market is in panic mode. Cramer, on his Mad Money show last night, called Apple iUSA and said the stock is soaring because investors are looking for growth:

Finally, Cramer said the real driving force behind U.S. stocks has been iUSA. In other words, “the United States of Apple.” Although the market opened down considerably Monday, Cramer noted Apple’s stock opened down just 5 points or so. It continued to climb throughout the trading day, taking out its old highs and helping push other high-growth stocks higher.

So how is Apple able to buck the negativity surrounding Europe’s debt woes?

“The negativity is about an economy that is slowing or nearing recession. The European contagion means a collapse in earnings for many industrial companies,” Cramer explained. “So what happens to all of the money sloshing around in this country that’s always looking for a home? As always, it seeks growth wherever growth can be found … Right now the most logical place on earth? Apple.”

The technology stock was able to break out on Monday because there is an emerging consensus that the estimates for Apple are too low, Cramer said. He thinks the stock is very cheap. In the near-term, he thinks several analysts could raise their estimates for the stock. In addition, the summer months tend to be a slow time for tech, so the tech space is seeing business come back. Finally, Apple is expected to release a new iPhone imminently.

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