Our Goal is to Make the Next 12 Months Your Most Profitable on Record!
Dear Cabot Wealth Advisory Reader,
Back on January 28, I wrote a column titled “Apple — Final Thoughts.”
In it I reviewed my thesis that AAPL, which had been the market’s most popular stock in the preceding years, would now trace out a major downtrend as investors’ perceptions shifted and they slowly withdrew their money and moved it elsewhere.
I wrote, “I saw it happen in IBM decades ago. I saw it happen in Microsoft. And now I’m watching the beginning of the process in Apple.”
Hopefully, you listened. But I know some readers did not. And this week, as AAPL broke down to another new low, I received the following email, which inspired me—despite my earlier resolution—to speak out once again on AAPL.
“I am embarrassed to admit that I have “fallen in love” with AAPL. I didn’t sell when you suggested, and have continued to hold down this far. Are we anywhere close to where your value expert would consider AAPL in this camp? In other words, do I hold on but take this off my growth list of stocks and treat like a value stock. Or cut my losses?—J.B. Houston, Texas”
“Thanks for asking.
“First, AAPL is not attractive from a value perspective. In fact, the latest issue of Cabot Benjamin Graham Value Letter said this:
“Apple (AAPL: 442.32) reported disappointing quarterly financial results again. This is the third-straight quarter of weak sales and earnings, triggering a sell recommendation. Sales increased 18%, but EPS were flat—both less than expected. A new, slower growth trend is now confirmed. I first recommended Apple in the Modern Value Model in the February 2011 issue of the Cabot Benjamin Graham Value Letter at 348.03. AAPL has advanced 47.6% during the past 23.5 months while the Standard & Poor’s 500 Index has increased only 14.0%. Sell.”
“Second, my opinion about the stock is based on experience watching “old leaders.” Once they peak, it takes roughly five years to transition from the growth uptrend to the value uptrend, and the main reason is that people’s opinions take time to change. There are thousands, if not millions, of shareholders just like you who are finding it hard to give up on Apple. But as the years go by, they will, and their “supply” will hold the stock down.—Tim Lutts”
Now, that’s not the kind of wisdom you read in books, or in blogs, for that matter, That’s the kind of wisdom that’s hard to quantify. Admittedly, my “five years” could be four, and it could be seven—there are rumors that Google’s new phone could be a real threat.
But—leaving Apple aside—this is the kind of wisdom you can expect from the editors at Cabot, who have no other agenda than to make you a more successful investor!
And this is the kind of wisdom you can expect to get when you attend the first-ever Cabot Investors Conference, scheduled for August 14-16, 2013, here in Salem, Massachusetts.
The conference will make you a better investor. And a better investor is a MORE CONFIDENT investor! As a result, you’ll leave the conference well prepared to tackle anything the market throws at you.
The key is education, and that’s what we’re promising in spades.
You’ll hear presentations on investing topics like these.
• The Role of Contrary Opinion in Investing (including Behavioral Finance)
• How to Take Advantage of Secular Market Cycles
• How to Spot and Invest in Major Trends
• Growth vs. Value Investing
• Alternatives to Bonds for Safe Income
• Controlling Risk in an Aggressive Growth Portfolio
• Using Volatility (and Optimization and Probability) to Your Advantage
• The Stock is Not the Company
• Systems and Techniques to Manage Your Portfolio for Maximum Gains
• How to Pick Safe, Winning, Dividend-Paying Stocks
• High-Potential Canadian Stocks
• Prediction, Probability and Knowability
• Making Options Work for You
• Secrets of Small Company Research
• From Emerging Markets to Frontier Markets
• My Favorite Stocks (from all the editors)
You’ll get expert from all the Cabot editors we can squeeze in!
• Mike Cintolo, editor of Cabot Market Letter and Cabot Top Ten Trader
• Paul Goodwin, editor of Cabot China & Emerging Markets Report
• Robin Carpenter, editor of Cabot ETF Investing System
• Tom Garrity, editor of Cabot Small-Cap Confidential
• Roy Ward, editor of Cabot Benjamin Graham Value Letter
• Jacob Mintz, editor of Cabot Options Trader
• Chloe Lutts, editor of Dick Davis Investment Digest and Dick Davis Dividend Digest
• Timothy Lutts (me), editor of Cabot Stock of the Month
… and more!
You’ll have many opportunities to meet our speakers face-to-face, from the opening cocktail reception to the breakout sessions in smaller rooms during the conference to the two breakfasts and one luncheon—all of which are included in your conference fee.
You’ll be free from commercial pressures. There will no outside vendors at the conference, so you’ll be free to focus on the presentations, and free to talk about all the ideas you get, with both the Cabot experts and your fellow attendees.
Lastly—because life is not all about work—you’ll also have the opportunity to visit historic Salem, which is full of attractions, and even to use Salem as a base for adventure further afield.
If this sounds like the perfect way to spend a couple of days in August, I urge you to Register Now!
The Conference will begin with a cocktail reception at 6pm on the evening of August 14, and end at noon on August 16. We’ll also provide lunch on August 15 and a buffet breakfast on both August 15 and 16.
The Conference registration fee is $995 per person, but we’re offering a discounted registration of $850 if you register by March 31, and $450 each for your spouse or friends on the same registration.
BOTTOM LINE: There is only ONE reason to attend…
You need to take every step possible to grow your portfolio, while protecting your assets against continued market uncertainty.
So at the Cabot Investors Conference, you will learn how to take advantage of market cycles, how to identify and invest in major trends, and how to pick winning stocks—all while controlling your risk.
Being at this conference for these three days will give you practically everything you need.
Seats are disappearing fast, so I urge you to click here or call our VIP desk at 1-800-326-8826 to reserve your spot.
Chief Investment Strategist
P.S. Unless you live locally, you’re going to need a room. And if you’re going to need a room, I recommend that you reserve it now!
As in many historic lodgings, the rooms in the Hawthorne Hotel are a variety of sizes and shapes. We have blocked all the hotel’s rooms for the Conference. The hotel’s policy is to allocate the biggest and best rooms first. So if you reserve your room early, by calling the hotel at (978) 744-4080, you’ll get one of the best! Be sure to ask for the Cabot Investors Conference rate of $139 per night and use the reference code CHC814. It’s a great deal.
If you’d like more information, please call us at 1-800-326-8826.
Cabot Investors Conference, August 14-16, 2013, Salem, Massachusetts.