Apple fourth on BusinessWeek's Info Tech 100

I can hear them chanting in Cupertino, 'We're number four! We're number four!' Apple is occupying the number four position on the BusinessWeek Info Tech 100, which lists the top 100 IT companies of the year. Astounding profits, great products, and no end in sight for iPodmania account for Apple's position. However, Apple isn't the only company to benefit from the iPod craze. Hon Hai Precision, who Apple outsources manufacturing to, checks in at number two on the list.

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Source: http://bwnt.businessweek.com/it100/2006/index.asp

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I can hear them chanting in Cupertino, 'We're number four! We're number four!' Apple is occupying the number four position on the...

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Zach

Apple also occupies positions on the Wired 40 and Business 2.0's list of 100 top companies.

June 23 2006 at 3:34 PM Report abuse Permalink rate up rate down Reply

Christian

Apple presents a good opportunity to sort the clueful finance writers/pundits from the clueless. Apple is a financial dream the likes of which hasn't been seen in a very long time. Succinctly, Apple has zero debt, a large pool of liquid assets, a median 20-25% gross margin across its product line, one universally-identifiable product line (iPod), and a second product line with low marketshare (Mac). This means: 1) Apple is consistently turning high profits, 2) Its profits are not encumbered by debt payments or outstanding loans, 3) It has at a minimum several years of 50%+ market share for the iPod, with 20-25% margins, and 4) It has no ceiling for growth in the Mac market.

As several commentators have noted, if Apple so much as doubled its measly ~3% marketshare - which is significantly within the realm of possibility - it would be making profits the likes of which are enjoyed perhaps only in the energy and defense industries.

In short: Profit + Debt Free + Product Growth = $$$$$

It's not at all surprising that Standard and Poor lifted AAPL to a "strong buy" and other brokerages have been overflowing with praise. If you're a serious investor or portfolio manager, you would be certifiably crazy not to keep you finger hovering about the 'AAPL buy' button.

June 23 2006 at 3:31 PM Report abuse Permalink rate up rate down Reply

Byll

It's the only American company in the Top 10.

Go Apple.

June 23 2006 at 2:54 PM Report abuse Permalink rate up rate down Reply