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NASDAQ:AAPL
Sell Amazon and Apple now? The stock has stagnated the past two years, but it makes more money. Apple keeps investing in near projects, which is a good sign. Hold onto both of them for the long haul. He owns a lot of each.
Apple reported after the bell and overall it was a beat--he's happy. They beat earnings by 8 cents a share; revenues beat; and their revenue projections for the next quarter are surprisingly bullish. What impressed him most was how the non-iPhone revenues are growing, namely services. Services are annuity revenue, keep giving. 10 years ago, people wrote off Microsft, but they missed the story. MSFT transformed itself into a utility--you have to pay MSFT each year for the service. Same with Apple which is now making money in services. Also, their wearables division is exploding, says their CEO. He's happy with their report today. And their iPhones in 2020 will be 5G-equipped, which will encourage customers to upgrade. The only cloud on the horizon is Trump.