If you are planning to invest in Apple stocks then you should plan carefully on this direction. Though Apple stocks are safe as compared to that of various other companies in this space but still there are certain risk factors that should be considered before investing in it.
All the Apple products including iPhone etc. have mixed response from their users as some of them love them to the extent that they do not want to think for any alternative to them whereas some others who hate to use these products in any case. So you will have to be careful while investing in the stock of a company the products of which receive that much varied reviews from the public. But, as an investor, if you invest in Apple stocks with a neutral attitude then there can be many chances of earning good profits from them due to the constant demand of its products in the market.
Present fluctuating condition of stock market may restrain you from investing in Apple stocks but still it is worthwhile to invest in them for various reasons. Some of the pros and cons of investing in Apple stocks provided hereunder will help you in making final decision in this regard.
Pros of investing in Apple stocks
Prominent position in the wish lists: The first reason of investing in Apple stocks now is its top position on the wish list of most of the people, while selecting gifts for their loved ones every year during festival season. People usually go for Apple products to gift to their family and friends at the time of Christmas and various other festivals due to their consistent technological advancements in this field. This tendency is enough to give a boost to the stocks of any company anytime.
Consistent research and development in the Apple products: The frequent introduction of the new and advanced versions of a number of its electronic devices is another positive reason for investing in Apple stocks. Most of the new versions and new gadgets introduced by Apple are promising to get excellent response from their users as Apple is among the top class companies in this field.
Stock chart of Apple: If you consider the technical prospective of Apple stocks then you will find that they have developed a solid base since last September by maintaining the level of $520. Though it could not show any increment during these months due to declining market trend but it had succeeded in maintaining the value of its stocks during this period which is a very positive reason for investing in it. Any new launching can boost the worth of Apple stocks in the near future.
But you should also consider the cons of investing in Apple stocks before deciding for it.
Cons of investing in Apple stocks
Irritating predictions: Though the strong base of Apple stocks encourage many investors but some people who are against it see for the negative points in the fiscal predictions made by the company. According to them, the targeted sales of Apple products could not reach even to the lower level of the predictions made by company in this regard. Thus you should invest in Apple stocks carefully.
Lack of innovations and Market competitions: Recent death of company’s CEO, Steve Jobs, had given a set back to the innovations in the company’s products. Though Apple has large number of experienced professionals that can write codes and design new gadgets to market them all over the world but their competence to continue the heritage of Jobs is still doubtful.
Sluggish stock market trend: Maintaining the strong base of Apple stocks in the declining stock market trend is doubtful as it may fail anytime with the compulsive depressing market conditions. It will be hard to sell Apple stocks if any bad news comes from stock market in this regard.
Though every person invests in any stock on the basis of his personal goals and need of the time but still he should consider all the pros and cons before investing in any stock. Thus even if Apple is a good stock to invest in during this time of stock market stagnation but still you should consider all of the pros and cons given here above to make a safe decision for you.