Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Quanta Bet Is A Leveraged Play On Apple Inc. (AAPL) Watch, Says Charles Sizemore

Those contemplating an investment in Quanta Computer Inc. (TPE:2382) is looking at the potential investment as a leveraged play on the upcoming Apple Inc. (NASDAQ:AAPL) watch, according to Charles Sizemore.

The CIO at Sizemore Capital Management told CNBC that a bet on Quanta Computer is a bet on the Apple Watch. However, investors should remember that the very healthy profit margins are ultimately for Apple Inc. (NASDAQ:AAPL).

“One thing to remember is that all of the fat profit margins goes to Apple. Quanta is very much a commoditized business here. […] They will never benefit from the iWatch to the extent that Apple will [benefit] themselves. This is very much a low margin commoditized business,” Sizemore said.

However, he noted that with that said, Quanta’s stock is “not super expensive right now” which points to the possibility that the market is not fully appreciating how big the upcoming Apple Inc. (NASDAQ:AAPL) watch would be for Quanta.

He said that if the Apple Watch will be as big as or bigger than expected, Quanta becomes very interesting. “It’s an interesting leveraged play on the Apple Watch,” Sizemore said.

Apple, is AAPL a good stock to buy, Quanta Computer, Charles Sizemore,

Nonetheless, if Sizemore were to choose where to invest, he would directly buy Apple Inc. (NASDAQ:AAPL) shares, he said. This is because investing in suppliers of the iPhone maker is very risky investing.

“Personally, I prefer to stick with Apple itself. The suppliers are a much riskier speculation. One decision by Apple to go with a different supplier or to shift production around and you could be buried. You could lose your entire investment or potentially all of it,” he said.

With Apple Inc. (NASDAQ:AAPL), people will have the high margins, dividend growth and arguably the best stock in the world right now, Sizemore ended.


I jsut made 84% in 4 daysI Just Made 84% in 4 Days By Blindly Following This Hedge Fund

I just made 84% in 4 days by blindly imitating a hedge fund’s stock pick. I will tell you how I pulled such a huge return in such a short time but let me first explain in this FREE REPORT why following hedge funds’ stock picks is one of the smartest things you can do as an investor. We launched our quarterly newsletter 2.5 years ago and not one subscriber has, since, said “I lost money by EXACTLY following your stock picks”. The reason is simple. You can beat index funds by creating a DREAM TEAM of hedge fund managers and investing in only their best ideas. I just made 84% in 4 days by blindly imitating one of these best ideas. CLICK HERE NOW for all the details.

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!