Apple Computer - The I-Pad will be a success

Dow Jones 10,099 (Up) week ending 2/12


Well I think I finally drank the Kool-aid. I watched the video about the I-Pad on the website of Apple Computer, (Symbol AAPL,$195.50), and also the Stanford University commencement speech with Steve Jobs discussing his life and his ideas about life. I am a believer. The I-Pad is the perfect Internet surfing device. Period. They have rewritten all the Apple software programs and have made them optimized for this device. It invites the whole application community to use their creativity and invent new uses for the Pad device. It can be a page turning down-loadable book. It is sold at the amazing price point of $499.00 U.S. dollars. It is a winner.

I only wish that I had been paying attention to Lieutenant Dan's stock picks back in 1996, when in the movie Forrest Gump,(referring to Apple Computers), Forrest said "He got me invested in some kinda fruit company". Forrest would say today, "Momma says that Lieutenant Dan is one smart cookie"

Apple has put together some mind boggling numbers. $15.7 billion in sales in their Christmas quarter 2009. 5 year sales growth of 29%. 12 month return of 124+%. 5 year 52.65% earnings growth. These folks are dedicated to excellence in every way.

So what started on April Fool's Day 1976, when Steve Wozniak and Steve Jobs released the Apple I computer and began the personal computer age, is now a technology inventing mega-machine. It keeps rolling out the hit products and has $33.6 Billion dollars in current assets on the balance sheet. I see another great sales and earnings year coming in 2010.


So add some Zen enlightenment to your portfolio, and buy some Apple.

Freewilly

That Energizer Bunny keeps going and going ...... for consistent profits.

I must have batteries on the brain! Portable Energy Storage Devices. The storage and movement of energy with electricity, liquefied natural gas including Methane and Hydrogen, Wind, Solar, Water Hydro, Geothermal, and Nuclear will be important and large businesses in this new decade. Monitoring the movement of this energy is something the company I work for, Numerex Corp.,(Symbol NMRX), does very well, with Device, Application, and Network services brought together and offered as a combined solution.(D-N-A).

The disciples of Charles Tandy, John Roach, Bernie Appel and Lew Kornfeld at Radio Shack Corp.,(Symbol RSH), are forever inventing new electronic gadgets for you to put batteries into. Boom boxes, electronic toys, musical keyboards, home fire alarms, TV remotes, flashlights and the list goes on ad infinitum. Warren Buffett, at Berkshire Hathaway (symbol BRK.B) even figured out how to put a battery in a disposable razor blade to get the little hairs on your chin to stand on end! So where is all this leading to you ask?

Energizer Holdings Inc.,(Symbol ENR), the company engaged in the business of manufacturing batteries, flashlights and personal care products in the wet shave, skin care, feminine care and infant care product categories. It has a 12 month total return of 33.6%. The PE ratio is 13.48 based 2009 earnings of $4.72 a share. Projected 2010 earnings per share $5.30 share, 2011 is $5.89 per share. Gross margins are 49.73% overall. It is frankly a somewhat boring business. 10% projected sales growth. I think it will be a winner in what I think will be a tumultuous 2010 trading market as the Fed starts to slowly drain liquidity out of the markets. Caution is the watch word for 2010 trading.

So recharge your batteries and get back into the fray!

Freewilly