When you couple fewer stock splits with much higher share prices during a bull market, the result is that many investments trade for a high nominal share price. So are all the cheap stocks -- or at least the GOOD cheap stocks -- going to disappear?
Before you applaud Facebook, Google and others for condemning Internet spying, remember their business models. This privacy “concern” is clearly motivated by capitalism, not patriotism — so THEY have access to private information when others don’t.
BBRY is burning through cash, sales keep falling and the once-dominant tech company is worth less by the hour. Customers don’t trust BlackBerry to be around and have abandoned ship — with sales crashing 45% in Q2 and upcoming BlackBerry earnings expected to be just as ugly.
I like Pandora as a product, and owned the stock earlier in 2013. But the valuation is too rich, competition is heating up and short interest remains high right now, making further gains a tough row to hoe.
With more modest expectations and positive momentum as we enter 2014, the stars may be aligning for a nice run in Apple stock. The valuation is fair with a forward P/E of 12, the dividend is nice at 2.1% and all signs point up.