Filed under: Google (GOOG), Apple Inc (AAPL), Amazon.com (AMZN), Market matters, Research in Motion (RIMM), Stocks to Buy, Cramer on BloggingStocks
The four horsemen won’t quit. How many times have I had to write that? How many times will I continue to write it?
Monday morning in the Answers section of Stockpickr, which I like to check out several times a day, someone asked me for a price target for Apple (NASDAQ: AAPL) (Cramer’s Take). I had to admit that I was stretched on stretching that one.
I haven’t used a price target for Apple of late because it just keeps blowing through every level. That said, Apple is a multi-year story, meaning that you sell some on strength and buy some on weakness.
Research In Motion (NASDAQ: RIMM) (Cramer’s Take) will continue to motor until it reflects the fact that estimates remain way too low for next year even after last week’s blowout. The Street is looking for $3. Heck, this one could earn $4.
The earnings momentum on RIMM is so strong here that I am hard-pressed not to give it a 60 multiple on the conservative $3 number. When you have 37% growth, you can take it that high without really risking as much as you would think, particularly if you agree with me that that number is too low.
Amazon (NASDAQ: AMZN) (Cramer’s Take) is a seasonal play and we are in the season. The higher gasoline prices, the higher sales tax, the more fun it is to shop online, the more you win with Amazon both from its own business and from the fulfillment of others’ business.
Finally, the easiest is Google (NASDAQ: GOOG) (Cramer’s Take). Here’s one that I continue to be mystified about. How can this one sell at 1 times its growth rate? How come it doesn’t at least sell at one-and-a-half times its growth rate? Is that because it would be going to $900, and that’s too hard to understand?
I am using a $701 target for Google.
Doesn’t seem that hard to reach.
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Jim Cramer is a director and co-founder of TheStreet.com. He contributes daily market commentary for TheStreet.com’s sites and serves as an adviser to the company’s CEO. At the time of publication, Cramer had no positions in any of the stocks mentioned in this post.
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