Apple Computer - Beware When It's Only Good News

On February 11, 2005 Apple Computer (AAPL) announced a 2-for-1 stock split, its stock reached an all-time high and Steve Jobs, Apples's CEO, appeared on the cover of Fortune magazine, February 21, 2005 edition.

Could all this good news suggest that Apple's stock is tapped out? No one knows but the stock has been on a steep upside since early 2003 and stocks do not go up forever. There is nothing but good news built into the current stock price so if Apple were to stumble just the slightest, its stock would be hit hard.