[boombust]

I misremembered his comment on iPhone prices. He just said that they are undervalued relative to their utility. I thought he made a comment that Apple should look to increase iPhone prices, which, as he admits, would be a terrible move.

Listen, I was just trying to make an argument that even WB can misjudge a situation. It was not a convincing argument because half the example I used was not correct. Timing wise, buying apple stock in early 2018 before concerns about Apple being able to grow and stoke the hunger for their consumers to upgrade is not ideal. Hindsight is not a necessarily fair way to judge his decision because as you mentioned his horizon goes far beyond a year.

Maybe my personal bias is coming through because I just don't see it as such an exciting brand anymore and I struggle to see where they will find new areas for growth. Whereas 10 years ago I was looking to upgrade my laptop/smartphone every 1-2 years, now I've got my iPhone 7 and my 2013 macbook air and I'm sticking with them until they fail because nothing that Apple offers makes me go 'I want that'.

[smileysteve]

Yeah, the example was a pretty poor one. Your quote about pricing wasn't far off from what Apple was trying to do; I heard somebody say they're realizing that the smart phone market is saturated and seeing how high they can pump the price before it matters; and you and I both think they found it.

> I just don't see it as such an exciting brand anymore

The stock market also doesn't see it as exciting anymore. The market has had this view since Steve Jobs was alive; where Apple's P/E places it below value and dividend stock (it trades at half the multiple of Duke Energy). In order for you, or Warren Buffet to think Apple is a good value investment, it only has to be ~1/2 as exciting as Microsoft or Duke Energy.