Apple, Maps, Negativity in the Press
The press is in business of getting you to read their drivel so they can get page views. As such they must fill titles with link bait and get you in to some controversial rant in hopes the story spreads.
Apple’s iPhone 5 was released and the positive press was flowing and the stock going up. After launch there were many positive reviews but the press was waiting to rip apart anything they could find wrong. Well Apple did not disappoint the press and gave them Apple’s new map app.
The new map app isn’t quite as good as Google Maps by any means. Is it a reason that people won’t buy the phone? Probably not. I’m sure Google will release their own map app on iOS 6 soon enough. In the meantime Apple will be working hard to improve theirs spending billions to do so perhaps. I felt they should just buy Garmin which has a market cap of about 8B and trades for a low 13 PE right now. With such a purchase they could have a better navigation app than Google has out of the gate. Add to this the IP and engineers that would come with Garmin. I think Garmin is a buyout candidate here.
In the meantime I did a trick after I upgraded to iOS 6 to put Google Maps right back on my iPhone 4. Simply go to the mobile version of Google maps and add the icon to your home screen. Then when you want maps you simply click it and open up the mobile (HTML5) version. Sure it is not 100% as good as the native app but it has most of the features and gets you by in cases where Apple falls short.
Apple will sell more iPhone 5’s than analysts are predicting this year. It will be huge and there has yet to be an iPhone that has not exceeded all the bullish forecasts for shipments. Initially there will be supply constraints but people will wait for it. Nobody is switching to Android because they have to wait a month or two to get their hands on an iPhone.
Apple continues to trade cheap here and I still see the stock headed well over $1000. Buy on any dips