We live in an era of unparalleled doubt that the future will be an improvement upon the past, with growing doubt that technology can help deliver us from ourselves. Why is it that those in mainstream and lame-stream media alike work so diligently to destroy human faith in anything good and worthwhile?
Apple As Target
There seems to be something about the human psyche, at least those in a position to inform others, that must criticize and tear down those which (or who) would aspire to betterment.
Apple, as a company, aspires to be a manufacturer of useful, powerful, well designed, well built technology gadgets that delight customers.
What has been the company’s success to date?
Apple has hundreds of millions of satisfied customers, an array of highly acclaimed and admired products, tens of billions of profit dollars stored away (so much money even the creative geniuses in Apple’s executive ranks cannot figure out what to do with all the money), and a growing list of unimaginative critics whose only apparent understanding of markets and technology is the ax they wish to grind in public.
One such critic is the self described market timing guru, Bert Dohmen, of Dohmen Capital Research, the Wellington Letter, and other digital pablum who’s down on Apple in a big way these days. So much for timing, Mr. Dohmen. People have been down on Apple for the past 20 years. Where have you been?
This recently reincarnated Apple critic contributed plenty of eye catching drivel as a Forbes contributor, though one must wonder about his contribution of rehashed and discredited perspectives.
For an investor “market share” is very important. Market share for other Apple products has been declining for several years. That means the competition is gaining.
If marketshare is so important, why bother investing in Apple at all? Why are the hedge fund folks investing in Apple? Remember the Mac? It’s gaining marketshare. And owns half the PC industry’s profits.
The big hedge fund guys are smart… The biggest hedge funds own large positions in Apple stock.
“Time to sell!” says the market timer. He’ll be right one day. From there on his Forbes contribution becomes rehashed fodder from discredited sources on sales and marketshare and OS X licensing (funny how only Apple releases actual sales numbers; and how’d that licensing scheme work out last time?), Samsung will rebound (but only Apple will fail; and that’s just a year after everyone predicted Apple would fail while Samsung would succeed except then it didn’t, which is why we have to wait until next year).
Dohmen then compares Apple Pay to the mostly discredited and already hacked MCX system, fronted by Walmart as an affront to the banks and the percentage they take with every sale. Here’s a single sentence in Dohmen’s pablum that should alert you to how far off base this critic is with critical analysis.
Apple’s past success was based on developing great new products giving it a virtual monopoly for several years, such as smartphones and iPods. Since then, competition has virtually destroyed the sales of the vastly overprice (sic) iPod.
I guess a virtual monopoly is like a real monopoly only not real; as in virtual. The fact is this. Apple has owned and owns a near monopoly or two or three, the iPod being the first and only hardware product. The Mac was never a monopoly. The iPhone was never a monopoly. iTunes was and is a near monopoly. Apple seems to have a near monopoly on industry profits, but the Forbes contributionist overlooked that. Otherwise, I’m still trying to figure out which competition has virtually destroyed the sales of the “vastly overprice (sic) iPod.”
Competition kills monopolistic pricing, market share, profit margins, and eco-systems.
Only Dohmen knows of what he writes. Competition kills marketshare? What of Windows? What of Android? Competition kills profit margins? Yet, Apple’s margins are the darling of every industry it enters, and profitshare is growing. What is an industry without profits? It’s the government.
I call the era in which we live the era of doubt and faith; whereby faith is doubted by doubting critics, and the faithful laugh all the way to the bank. As to Bert Dohmen’s doubts about Apple, I have faith he’s shorted the stock and needs the price of AAPL to drop like a rock to cover his losses. Otherwise, his “Apple: Icon, Icahn, Or iGone?” is merely his latest venture into iRubbish.
It’s an ironic juxtaposition, but if you want to read some truly insightful analysis, read the Forbe’s reader comments on the Dohmen contribution. Priceless.
Alright, one more question. Does Forbes seek out loonies to contribute to their link bait pablum? Or, do the loonies naturally gravitate to Forbes?