Caution on Apple stocks proves prescient

Caution on Apple stocks proves prescient

John Goltermann on CNBC

John appeared on CNBC's Squawk on the Street in April 2012 and, in what was a controversial call at the time, publicly cautioned those who were considering investing new money in Apple Inc. (AAPL) to think twice because of a huge amount of hype, euphoria and speculative flows prior to the iPad 3 launch.

Even with the most optimistic assumptions, the economics of the iPad did not justify the increase in the stock price, which had added almost $130 billion in value prior to his call. The stock price subsequently fell 40% after John's caution.

Apple stock price chart

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