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Sat, Jul 04, 2009 - 06:46 PM EDT  —  AAPL: 140.02 (-2.81, -1.97%)  |  NASDAQ: 1796.52 (-49.20, -2.67%)

Apple market value soars past Dell’s, HP’s on Mac, iPod strength
Friday, October 19, 2007 - 12:18 PM EDT

"Ten years ago this month, Dell Inc. founder Michael Dell said Steve Jobs should 'shut down' Apple Inc. and return the money to shareholders," Connie Guglielmo reports for Bloomberg. "Dell then had a market value of $4 billion to Apple's $700 million. Apple's valuation has since soared to $150 billion, more than double that of its personal-computer rival. Last month, Apple passed PC leader Hewlett-Packard Co. in market capitalization for the first time,"."

"Jobs, who returned for a second stint as chief executive officer in 1997 after being away for a dozen years, may say annual sales surpassed $20 billion for the first time in the company's 31-year history when he reports results for the year and fourth quarter on Oct. 22," Guglielmo reports.

"The Cupertino, California-based company's profit for the year probably topped $3 billion, according to the average estimate of 11 analysts surveyed by Bloomberg," Guglielmo reports. "Sales for the quarter ended Sept. 29 may have jumped 24 percent to $6.01 billion, fueled by back-to-school demand, the survey found. Profit may have climbed to 84 cents a share from 62 cents in the year-earlier quarter."

Guglielmo reports, "Apple's shares rose 39 cents to $173.89 at 9:44 a.m. New York time in Nasdaq Stock Market trading. The stock has more than doubled this year. Twenty-five analysts monitored by Bloomberg recommend buying the stock, and four say hold."

"Mac shipments have topped 1 million units for 11 straight quarters. Analysts estimate a record 2 million machines were shipped last quarter. Apple's PC market share in the U.S. widened to 8.1 percent from 6.2 percent in the third quarter, Gartner Inc. reported this week. Mac shipments rose 37 percent, with Apple posting the fastest growth among the top five PC makers, the Stamford, Connecticut-based researcher said," Guglielmo reports.

Guglielmo reports, "At Round Rock, Texas-based Dell, shipments fell 5.5 percent."

Full article here.

[Thanks to MacDailyNews Reader "Macaday" for the heads up.]

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Oct 19, 07 - 12:21 pm Comment from: Rene

First post! but good for apple

Oct 19, 07 - 12:29 pm Comment from: Another Mistaken Celebration

Just keep comparing Apple to inferior standards, such as Dell, and Apple will become Dell.

When you are leading the pack on quality, it's a compelling demand of human nature and stockholders to cut quality in favor of more profit.

"The point is, ladies and gentleman, that greed -- for lack of a better word -- is good. Greed is right. Greed works. Greed clarifies, cuts through, ..." Gordon Gekko

All at the expense of the faithful group that made it all happen - we are called customers and there is a knife headed into our backs because of this wrong headed standard of comparison!

Oct 19, 07 - 12:29 pm Comment from: Buster

I say Michael Dell should sell the company and give the money to Apple shareholders as a form of an apology.

Oct 19, 07 - 12:36 pm Comment from: jeff

Just be careful about the stock price. It is trading really high vs earnings and there can be a lot of volatility.


That being said, 'CRAP I should have bought me some apple lovin' before the price got so high.'

Oct 19, 07 - 12:36 pm Comment from: Jubei

Maybe you should post this all the time also. Maybe all Mac users should post this on their signature for every email they send out. LOL


"Oct. 19 (Bloomberg) -- Ten years ago this month, Dell Inc. founder Michael Dell said Steve Jobs should ```shut down'' Apple Inc. and return the money to shareholders.

Dell then had a market value of $4 billion to Apple's $700 million. Apple's valuation has since soared to $150 billion, more than double that of its personal-computer rival. Last month, Apple passed PC leader Hewlett-Packard Co. in market capitalization for the first time."

Oct 19, 07 - 12:41 pm Comment from: hotinplaya

Great article !

I know this is off topic, but I got a kick out of it, I was in GoDaddy, in their email help section, and this is how their FAQ looks

Why am I Getting the SMTP Error Message

Why is my POP3 account not working with Windows Vista?

Setting up Your Email Account in the new Email Control Center

Why is my POP3 account not working with Windows Vista?

every other question, was the same one about Vista!!, you think they have been getting some calls

Oct 19, 07 - 12:45 pm Comment from: Randian

@Another Mistaken Celebration

Previously you were "All Hands" or something like that, weren't you? You keep spouting the same old tired message here, shortseller. Why don't you try another site, or, better yet, try to find another message?

All you ever post on MDN is "comparing Apple to Microsoft or Dell or . . . is madness." Not only is your message falling on deaf ears here, your point is vacuous. Get off it, or just go away. PLEASE.

As for AAPL . . . buy it or don't, but (again) nobody's is listening to you.

Oct 19, 07 - 12:48 pm Comment from: Go Sox

I think Another Mistaken Celebration's wife must have left him for the gardener or something.

Oct 19, 07 - 12:52 pm Comment from: January 24, 1984

Even the sternest Apple critics are now softening. I hear it all over, people saying inane things like, "They run Windows too."

But everyone needs to have a reason, don't they? I believe it's just better to employ reason than have one.

Oct 19, 07 - 12:57 pm Comment from: Dextroamphetamine

AAPL soars. DELL? Sores.

Oct 19, 07 - 01:05 pm Comment from: Oh Yea

Apple is so successful now, they don't need us zealots or this site.

Shut down MDN and give the money back to the shareholders

Oct 19, 07 - 01:08 pm Comment from: @Randian

Yes, I own a lot of AAPL, but don't you agree with my concerns about the compelling temptation to change dance partners? In step with quality and customer service, then switch to the gal in the money-colored dress when everyone says you are out stepping those who are stumbling around on the floor?

Oct 19, 07 - 01:15 pm Comment from: BuriedCaesar

That last sentence? OUCH. That's gonna leave a mark.

Oct 19, 07 - 01:21 pm Comment from: bobchr

@ Another Mistaken Celebration
A couple of reason why you're dead wrong on your prediction. First Apple maintains the highest per capita R&D;investment of I venture say all the major PC manufacturers. Dell at it's peak barely touched 10% and usually hovered around 5%. Second a previous article on this site stated the Iphone had an over 80% customer satisfaction rating despite taking significant market share in a sector that they previously had no presence. In another related article on the IPhone's quality user interface a poster to that article remarked that we Apple fanatics would never give M$ credit if they developed the same quality user interface. Some of us responded that M$ had 6 tries and an 8 year head start and still couldn't do it and never will because their products are not designed for the consumer marker but for the corporate market.

Apple does it's homework with ever new endeavor and product launch on ever aspect of their business. They do what we call in the industry a lessons learned autopsy on failures and successes. In the 20+ years of Dells existence they have been nothing but a one trick pony and that trick was squeezing as much profit out of the supply chain as they could. Now they are trying to enter the consumer market with people like Wal Mart. The tried the kiosk approach so they would not have any over head. No product availability for a consumenr to touch so unless you worked with a Dell and wanted to buy the same machine you had at work for your home you really didn't know what you were getting until you got it.

Even Apple satellite stores in Best Buy and Comp USA and Micro-Center had real live machines that you could try out some even had people you could ask about the machines. It will be a long time before Apple spirals back down to the level of Dell They have learned the lessons in the 80"s and 90's that Dell and M$ did not and part of this lesson is how your early successes can cause your arrogance to blind you from the true needs and the market place and then you will be forsaken. Even in tech support Apple is the last computer company to have a significant US presence. Even it's phone partner AT&T;cant boast that. Apple continues to study what the individual consumer wants not the corporate cousin with the big IT department.

Oct 19, 07 - 01:25 pm Comment from: ballonknot

to all you long time AAPL shareholders:

I was thinking about selling some of mine off today, and then buying back next week after the (sadly) inevitable price drop after the earnings report.

What say you?

Oct 19, 07 - 01:35 pm Comment from: KenC

Wow, shareprice growth in 10 years:

Apple: 35x
Dell: 2.5x That's 2 point 5, not 25! I didn't realize that Dell had totally flatlined in the last decade.

Oct 19, 07 - 01:42 pm Comment from: Gil

I want some juju beans....

Oct 19, 07 - 01:43 pm Comment from: Jooop

AAPL doesn't aways drop on earnings reports, sometimes it goes up. It's your gamble. Have fun!

Oct 19, 07 - 03:00 pm Comment from: ken1w

Even people who previously would not have bought a Mac are making the move. When Apple has Leopard and everyone else has Vista, it's easy to see why.

Oct 19, 07 - 03:03 pm Comment from: zone

Betting on an AAPL drop is a bit of a gamble wink

Oct 19, 07 - 03:13 pm Comment from: @ ballonknot

Agreed...it's a gamble. That's not investing, that's gambling. Having said that, I confess to occasionally selling when it's gone up several days in a row, then buying back when it drops a couple of dollars. Only in my IRA, mind you, as I don't really want all those short term capital gains taxes.

Obviously, the best long term strategy is buy and hold until you no longer think the stock is worth the price at which it's trading. I have a few shares in a different IRA that I don't trade, and they're just fine, having been purchased at around $12, pre-split.

Oct 19, 07 - 03:24 pm Comment from: MD

Well at least Steve took half of the advice. He's certainly been returning the money to the shareholders!!!

Oct 19, 07 - 05:01 pm Comment from: Woody

@ Ballonknot: that does happen frequently, but as they say, "Past performance is no guarantee of future results."

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