HOW CAN COMPANIES MAKE PHONES CHEAPER

[Roswell]

1 hour ago, papajo said:

 No, it doesnt it may make sense to you because you cant bother understanding the intricacies and want it to be that way in the same financial statement it lists what their expenses revenue is the total income they receive by primary sales (and here lets not forget that those statements are made by professional agencies with target to eliminate as many taxes and fees as possible all companies and rich people do that not just apple, just as a reference if you are new to this world and believe everything is done by the book https://www.dw.com/en/apple-ireland-tax-avoidance/a-54274213 ) 

 

but anyway a few sites under that one the expenses are stated as well so yea less than 10% in total including RND , now why is revenue so smaller than net income as said above is a complex procedure that needs an very lengthy audit done by equally experienced professionals just to make sense of it which even I couldnt do properly even if I was hired to do that and it is out of the scope of this topic anyway. 

 

But it is not magic and at the end of the day its you cant hide the elephant on the room. Apple was on the bridge of collapse in the 90s and since about mid 2000s they started to become profitable and now they are a 2 triillion networth company! 

 

Networth is what you have minus what you owe (so any grands,loans,financing and budgets etc for things you have not yet paid off do not count in that) 

 

So in other word it is the total wealth of apple. 

 

If their only profit was e.g 50 million dollars per year they would need 40 years to surmount to a 2 trillion dollar networth. and that is the easiest way to make you see that its more than meets the eye. (and mind that in those financial statements you google and think that "that's all shw wrote" apple didnt have as big of a net income all those years back to the mid 2000s so the 40 years calculation is a best case scenario of a bestcase scenario) 

 

Everything else is just trying to find a joker in the cards. 

 

 

 

 

Holy moly dude, they don’t have a “$2 trillion net worth”. That’s their market cap, not how much money they have in the bank, lol.

 

Do you know what a market cap is? If they had 2 trillion in the bank, they’d be getting class actioned into oblivion by shareholders for grossly mishandling their funds.
 

Again, you could easily correct your misunderstanding of their financials (and really, how business operates in general) by simply looking at their yearly financial statement. 

[papajo]

10 minutes ago, Vitamanic said:

Holy moly dude, they don’t have a “$2 trillion net worth”. That’s their market cap, not how much money they have in the bank, lol.

 

Do you know what a market cap is? If they had 2 trillion in the bank, they’d be getting class actioned into oblivion by shareholders for grossly mishandling their funds.
 

Again, you could easily correct your misunderstanding of their financials (and really, how business operates in general) by simply looking at their yearly financial statement. 

Since you are so good at googling just google APPLE NET WORTH 2020 and check out the first result  (https://www.celebritynetworth.com/richest-businessmen/companies/apple-net-worth/) 

 

 

 

 

And besides that market cap is essentially part of networth and on its own represents the value determined (or in other words calculated by) the stock market (in "more" otherwords the company cant be worth less than its market cap, it can be worth more though since market cap is based on outstanding shares and doesnt account for the total cash balance and shares not shared to the market) 

 

shares are not "magic" papers one can just print... I cant go right now create a startup and print 1000000 shares at 100 each my outstanding shares are representing my cash/asset value . 

 

 

 

[Roswell]

2 hours ago, papajo said:

Since you are so good at googling just google APPLE NET WORTH 2020 and check out the first result  (https://www.celebritynetworth.com/richest-businessmen/companies/apple-net-worth/) 

 

 

 

 

And besides that market cap is essentially part of networth and on its own represents the value determined (or in other words calculated by) the stock market (in "more" otherwords the company cant be worth less than its market cap, it can be worth more though since market cap is based on outstanding shares and doesnt account for the total cash balance and shares not shared to the market) 

 

shares are not "magic" papers one can just print... I cant go right now create a startup and print 1000000 shares at 100 each my outstanding shares are representing my cash/asset value . 

 

 

 

Wow... No. Stop conflating the idea of personal net worth with a company's market cap. They have nothing to do with each other. 

 

Net worth is a measure of one's assets minus their debt. I have no earthly idea why you keep saying market cap is part of that. Apple's valuation (what the market values the business as) has no effect on what their actual assets and debts are. 

 

Apple has $65 billion in equity. If they ceased to exist tomorrow, that's ALL of the money they would have left. Not $2 trillion. 

 

Do you think there's some magic stock market fairy that flies into their headquarters every night to pull out a few billion when their stock value dips? This is not how any of this works.

 

Finally, yes, you CAN issue shares at will if the board approves it. You can split shares, you can dump them in treasury, etc. You also incorrectly assume that an IPO is somehow tied to liquid cash and assets?! What?! No, an IPO share price reflects valuation. 

 

You have no clue how the stock market works and you continue to argue the most ridiculous points... I'm not going to respond to you anymore because it's clear that you're either trolling or extremely uneducated on even the most basic aspects of how this stuff works. It's not worth it and you're unwilling to learn. Good luck.

[papajo]

1 hour ago, Vitamanic said:

Wow... No. Stop conflating the idea of personal net worth with a company's market cap. They have nothing to do with each other. 

 

Net worth is a measure of one's assets minus their debt. I have no earthly idea why you keep saying market cap is part of that. Apple's valuation (what the market values the business as) has no effect on what their actual assets and debts are. 

 

Apple has $65 billion in equity. If they ceased to exist tomorrow, that's ALL of the money they would have left. Not $2 trillion. 

 

Do you think there's some magic stock market fairy that flies into their headquarters every night to pull out a few billion when their stock value dips? This is not how any of this works.

 

Finally, yes, you CAN issue shares at will if the board approves it. You can split shares, you can dump them in treasury, etc. You also incorrectly assume that an IPO is somehow tied to liquid cash and assets?! What?! No, an IPO share price reflects valuation. 

 

You have no clue how the stock market works and you continue to argue the most ridiculous points... I'm not going to respond to you anymore because it's clear that you're either trolling or extremely uneducated on even the most basic aspects of how this stuff works. It's not worth it and you're unwilling to learn. Good luck.

Wow stop trying to connect dots by googling random stuff that you think fits your adgenta without knowing what you actually are talking about.

 

If things were that easy people wouldn't need to graduate from universities they would just use google and wikipedia. 

 

Market value(https://corporatefinanceinstitute.com/resources/knowledge/valuation/market-value/) is included in net worth. (https://www.investopedia.com/terms/n/networth.asp#:~:text=Note that the value of,and the current debt costs.)

[papajo]

4 hours ago, Triedtotypetheshrugemoji said:

Revenue is not smaller than net income. Apples revenue is 274 Bn and net income is 57 Bn which means apple has an expenditure of 217 Bn per year. 

 

Obviously it was a typo I mean bigger. 

 

4 hours ago, Triedtotypetheshrugemoji said:

we don't know apples liabilities

Speak for yourself. https://www.investopedia.com/stock-analysis/021015/understanding-apples-balance-sheet-appl.aspx#:~:text=Apple's current liabilities are about,billion in commercial paper issued.

 

And as I already said market cap is not a random number especially in well established companies that operate for decades in order for people to invest millions or billions in a company they know the smallest detail up to when Tim Cook's secretary sneezed last time. 

[BlueChinchillaEatingDorito]

On 1/25/2021 at 5:26 AM, Agena_ said:

Hi, i have a question

how can companies like samsung and apple make their phones cheaper.

 

what would they have to sacrifice?

 

Thanks

You mean the iPhone SE that's a device with flagship performance at the budget price of $399? What more do you want? The Galaxy A Series while not flagship devices, are still very good performers for around 300 bucks. The choice is there.

[papajo]

1 hour ago, Triedtotypetheshrugemoji said:

There's a lot of "about" in that link also if apples net worth according to you is 2 trillion, their market cap is 2.4 trillion and their liabilities stand at 0.1 trillion according to you then how does 2.4-0.1=2?

Quote

You are being childish obviously nobody is referring to exact figures  the 2 trillion part is the important one if it is 2,1 2,1239201832019 or 2,5 doesnt change much in terms of what we discuss. 

 

1 hour ago, Triedtotypetheshrugemoji said:

No they don't. You'd have to be a major shareholder to have a seat at the table and considering the largest individual shareholder owns about 1.1 million shares that's not happening.

Why you making things up? anyway this in addition with the above just make you look like a teenager or around that age who doesnt know better which is natural and not bad it just means that we cant have this discussion anymore, live a decade more and you'll begin understand how things work in life.