Today we are watching…
1. Apple (#aapl)
During this coronavirus lockdown period in the West, factories in China have just about gotten getting up and running again. That means the next iPhone looks sure to be imminently revealed by Apple, which is probably tracking some economic indicators right now and waiting for the right timing as we speak. The iPhone 12 won’t inspire a meaningful proportion of smartphone users to upgrade. It’s not what it used to be, and that’s the point. The iPhone is now a luxury good marketed aggressively in Asia. However, the stock price still relies on sales numbers doing well. Is this a useful risk to CEO Tim Cook to take right now?
2. Zoom (#zoom)
This video conferencing stock swung on the periphery a month ago. Now, it’s world-famous in the investing community. Zoom is being traded for a huge multiple of its earnings as one of the few safe havens market players can turn to in this stay-at-home period, doubling in price from last April, but now the market darling is receiving bad press. A lawsuit has been filed against Zoom for allegedly sharing with Facebook personal data without users’ consent. That’s illegal. It’s also not encouraging to hear Facebook’s name involved. Could this break the aurora around the newest hot stock, and allow enamored investors to zoom out and see the forest for the trees?