In a video interview shared online earlier today, Robert Turner (Chairman and Chief Investment Officer of Turner Investment Partners) speaks about his investment strategy, and recommends Apple, as he thinks it will likely continue to gain.
Turner said, and Bloomberg reports:
People gravitate toward those stocks that are able to have good earnings regardless of what’s happening in the economy. So, a company like Apple, for example, whether the economy grows 2 or 3 percent, they’re still going to have pretty good earnings this year.
Turner further said, “Apple, among all stocks, I think offers almost the best risk/reward of any stock available… This company’s probably going to earn over $30 a share in the next 12 months or so, so with the stock trading in the mid-$330s, it’s just over 11 times earnings with a growth rate that’s 20 percent year-over-year; so, with that type of growth rate, with that type of valuation, I don’t think the stock goes down very much and with, ultimately, the release of the iPhone 5 and some new products, the stock can begin to work its way higher.”
Turner also commented on rumors of the iPhone 5’s release date, saying: “It doesn’t look like June at all this time, so, I would say, some of the delay may be just finding ways to make this a very attractive phone.”
You can watch the entire video, in which Turner speaks with Matt Miler on Bloomberg Television’s Street Smart.
Our take? Of course Apple is going to gain – they can’t make devices fast enough for the people who want to buy them. That’s always a good sign.