An $Apple(AAPL)$a day, keeps the market losses away! Seems like Apple investors are making gains in the past 2 to 3 months, all thanks to better than expected sales and profits during the earnings announcement in July.
So what is keeping Apple so resistant to tightened consumer spending?
1) Product diversification - apart from their usualelectronics, they are ramping up on their serviceseg. Apple TV+, Apple Music, iCloud and more. This drives consumer stickiness to the brand as a whole. It also reduces the impact of decline in any product lines when it happens.
2) Strong cash position - with a huge stash of cash sitting in the business, Apple can take advantage of good investment opportunities during such recessionary times.
3) Relentless innovation - regardless of economycycles, Apple is constantly innovating to give consumers better phones, better music and more. Continuous improvement keeps consumer excited!
All in all, I personally see Apple as a strong business now and in the future as well. All the best to all Apple investors in the Tiger community!
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