Why Is Apple So Weak?

First, a bit of old news. Apple (NASDAQ: AAPL  ) apologized to Chinese consumers last week for failing to live up to expectations for warranty and repair service. CEO Tim Cook promised to do better in a letter reminiscent of an earlier mea culpa over Apple Maps.

Why bring this up now? Tim Beyers of Motley Fool Rule Breakers and Motley Fool Supernova also insists that Cook's apology -- his second -- reflects a broader trend at Apple, and one that should have investors concerned.

In the following interview with The Motley Fool's Erin Miller, Tim says that Apple may be losing the swagger that was so visible during Steve Jobs' tenure as CEO, replaced by Cook's easy, mollifying demeanor. Thus far, investors haven't seen any benefits from the shift.

Has Apple become weak? Please watch this short video to get Tim's full take, and then leave a comment to let us know whether you'd buy or sell Apple stock now, and why.

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Read/Post Comments (7) | Recommend This Article (3)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On April 11, 2013, at 12:09 AM, Drew258 wrote:

    Aapl is so cheap right now. With the new product introductions coming, the economic strengthening and the softening of PC sales - Aapl is well placed to reap the growth from each of these trends. No-one is close (except Samsung in the phone space, but Aapl's margins are stronger). $650 here we come.

  • Report this Comment On April 11, 2013, at 12:18 AM, jrogowsk wrote:

    Really?

  • Report this Comment On April 11, 2013, at 2:01 AM, Spot30054 wrote:

    Cook thinks that he can hold market share by improving existing products. Blackberry had a great product and look what happen to them! Also, he seems to lack vision. Last quarter, he was asked about maps and recommended that apple user use Waze. Wake-up Cook! You buy Waze and make it part of Apple. Its more than a Nav tool. Its a social media with an opportunity for large amount of cash from advertisements! He thinks that he has time to fix Maps and develop In-house. Technology moves too fast for him. He not going to able to keep up let alone lead!

  • Report this Comment On April 11, 2013, at 5:57 AM, cn01 wrote:

    Yes, I would buy Apple right now. In fact, I already have. This may be a golden opportunity. If not, I don't think I will lose more than 10%

  • Report this Comment On April 11, 2013, at 10:10 AM, wwofool wrote:

    When Apple introduced the iPhone, did the public know for months or years in advance of its development? What about all of the other product introductions over the past 10 years? A key to Apples success is secrecy, so the competition has little idea of the next great product. So today is nothing new.

    Tim Cook's recent apologies shows leadership, not weakness. The company is transitioning from one that is pompous to one that sincerely listens to and cares about the customer, all over the world.

    I've been buying more Apple stock over the past 4 months or so, including this morning. It is now my largest holding.

  • Report this Comment On April 11, 2013, at 2:52 PM, Toolishfoo wrote:

    Tim Beyers drones, "you know ... you know ... you know." No, I don't know and I don't think Tim Beyers knows either. So Tim Cook is a different personality with different strengths compared to Steve Jobs. Give the guy a break. At $705 AAPL was temporarily overbought & overextended. At $435 it is oversold & underextended. Steve Jobs didn't drive the former; Tim Cook hasn't driven the latter. One fact to learn from this whole episode ... most investors are wholly lacking in patience. "I want iWatch, I want iTV, I want i-CheapPhone, I want big extra-div & most of all I want it all N-O-W !

    [AAPL owner and current buyer]

  • Report this Comment On April 12, 2013, at 10:33 AM, wilksfr wrote:

    I just bought Apple also .Why? Have you been in an Apple store latey? Feeding frenzy. I will never buy a PC again. Haven't for years.Been burned too many times. The iMac is an incredible machine. Just bought the new one. Plus, just bought the macbook air. Apple is way undervalued, a buy ,in my opinion. Contrary to the market gurus, don't count Apple out.

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