Earlier today, Bill Miller, Chairman of LMM LLC, was discussing about the state of the current markets on CNBC and he was particularly focused on Apple Inc. (NASDAQ:AAPL) and Amazon.com, Inc. (NASDAQ:AMZN). While he said that Amazon is a good buy now and for a few more months, it has to put a lot of effort to be where it was a couple of months ago. He stated that Apple is a very interesting stock and it is worth between $700 and $750 per share, so it’s probably a good time to buy Apple though its trading around $600 today.
When questioned if the US was on brink of a recession, Miller was quoted saying “It would be the most unusual recession in the U.S. history, because first time claims are at cycle lows and wage growth at cycle highs.” Moreover, Fed’s easing policy and increases in earnings estimates cannot be considered as conditions during a recession.
The full video or Miller’s intervention on CNBC can be watched here:
So if Apple Inc. (NASDAQ:AAPL) is worth more than $700 per share, the main question is how does it become worth that much? Well, Apple became what it is today due to its customer service. They are the world no.1 when it comes to after sales support. In fact earlier today Kevin O’Leary of O’Leary Financial Inc. mentioned on CNBC’s Squawk alley:
“I use it because my entire family uses this as a resource. When my wife has trouble with her email, she goes down to the Apple store. That’s how they are winning my dollars.”
Watch below what else Mr. O’Leary’s said about Apple Inc. (NASDAQ:AAPL):
Bill Miller is the manager of Legg Mason’s Capital Management division, which earlier this year was included in its ClearBridge Investments unit. According to ClearBridge’s equity portfolio at the end of March, revealed recently in a filing with the SEC, the firm owns 348,900 shares of Apple Inc. (NASDAQ:AAPL), with a total value of $187.26, which makes the holding the largest in the whole portfolio (with a total value of $5.25 billion). The fund also holds a smaller stake in Amazon.com, Inc. (NASDAQ:AMZN), worth $86.08 million, which amasses 255,900 shares.