I purchased $10,000 More of this stock
Added 2021-06-07 20:21:28 +0000 UTCAs I have said before, low volatility income funds like JEPI are a great place to put away money and have it working for you while you look for high conviction buys. Well today, in response to WWDC, my conviction in Apple continues to increase, and so does my allocation of capital towards this company. I now have a total holding value of 42k, that's 337 shares. Apple currently makes up almost 18% of the Passive Income account. I don't plan on going above 20% of total portfolio value. Why do I have such high conviction with Apple? I can name off a few simple reasons. - Maker of high quality devices and services that is ubiquitous in every day life. People are on their products hours out of the day. - 23 forward PE, in-line with S&P500. You're paying the market average to own Apple. Many less-deserving companies trading at much higher multiples. - Service business that has been growing 15%+ YoY for the past 5 years (and will continue to for years to come) - Services has gross margins double that of hardware sales. - Under-appreciated Moat, Morningstar has a "narrow" rating on their Moat. I think that's a laughably bad take on Apple's Moat. - WWDC showed strong incremental improvements on Apple's core ecosystem, making their products more sticky for their customers. - I'll outline some other thoughts in an upcoming episode.
