Apple

[Grieve]

I know you guys hate Apple, and I've generally stopped posting about them on other parts of the board. But this is supposed to be investing forum, and I do genuinely want to share ideas that I think will make everyone money.

So I thought I'd share a few pretty cool facts from a bullish note JP Morgan put out today.

o If Apple were an industry, it would be the sixth largest industry in the S&P
. o Larger than Insurance, Food & Staples Retailing, Diversified Financial Services, and Media.
o If Apple were a sector, it would be the eighth largest industry in the S&P
. o Larger than Materials, Utilities, and Telecom.
o Apple has contributed 14 points to the S&Ps rise since October
o If Apple were in the Dow, it would be over 14,000 right now
o 44% of the S&P 500's earnings growth in 4Q11 came from AAPL
. o The next highest was AIG, with a 1% contribution to earnings growth
o Earnings per share are growing 56%, better than 471 stocks in the S&P 500
. o Trading at 12 times 2012 estimates, Apple is the 130th-cheapest stock in the index
o AAPL at current valuation is undervalued
. o On absolute P/E (12.0x vs. 12.7x S&P 500)
. o On relative P/E (94% vs. historical avg of 164%), or PEG ratio.
o 40% of large-cap mutual funds do not count Apple as a top position
. o These 112 funds are underperforming their benchmark average by 60 basis points
. o Funds that are significantly overweight Apple are outperforming by 0.3% year-to-date
o Only 72% of Apple shares are owned by institutional investors
. o Well below the 77% ownership for the rest of the S&P 500.
o There is still widespread room for more adoption
. o Apple's global smartphone market share is 19%, versus 30% in the U.S.
. o 5% in PCs, versus 11% in the U.S.

So the upshot is that the stock is under-owned by institutions, more will be buying into it, and it has a long way to grow even without any new products.