Apple

Apple closed on Friday at $381.  I so wish I had a pool of money because I would buy Apple at this price in a heartbeat.  I won't bore you with financial equations, but by virtually every measure Apple is undervalued, and once the new iPhone rolls out next week they will see a new sales explosion and the stock will be at $500 in less than two months.

So why is Apple cheap?  The law of large numbers.  A company that has seen the phenomenal growth that Apple has usually can't sustain it.  Yeah, so they doubled their profits in the past year, they surely can't do that again... right?  Maybe not, but I think they'll come close.  Even if they only increase earnings by 25% they are still a good buy.

Wow, I wish I had money.

(Before my friend (and future lawyer) e-mails and tells me to add the disclaimer, I'm not a financial planner and I don't even play one on TV.  Any choices you make should not be based on anything I write in this blog!)