Georges Yared
For 30 years, Georges Yared has helped investors pick companies that break the mold. Companies like Color Kinetics, Kyphon, Apple and aQuantive—all tripled for his readers in the past 18 months.

Georges Yared
For 30 years, Georges Yared has helped investors pick companies that break the mold. Companies like Color Kinetics, Kyphon, Apple and aQuantive—all tripled for his readers in the past 18 months.
The iPhone Winner and LoserJuly 8, 2008 By Georges Yared, Editor, GameChangers |
Amazing. All–and I mean all–of the household chores are getting done. No arguing, no asking twice. My 16-year-old son and 18-year-daughter are ASKING my wife and me if they can do more. Clean out the garage? Do the dishes? Mow the lawn?
Wow, this is nice. Is there an ulterior motive? I hope not, but deep down, I know there is. The sparkling new iPhone is being released on Friday.
Hey, Steve Jobs! Any chance you could postpone this iPhone launch? We parents could use a few extra days to get through the to-do list with our teenagers.
Let's get one thing straight about the iPhone: The iPhone is not just a cell phone; it is a revolution (see, "iPhone vs. BlackBerry: Consumers Speak Out."), one that just began in June of last year. It took two years to sell one million iPods, but just 74 days to sell one million iPhones. The first iPhone was a true GameChanger, different from any other cell phone.
This time, the game changes once again because the new iPhone will cost only half what the original did. Yes, you read that right. Apple has cut the price to $199. However – and this is what makes Apple one of my favorite GameChangers (get my complete Buy List here) – it will not lose a penny in revenue. AT&T, the carrier for the iPhone, wants it so badly it is willing to subsidize the other $200.
Now that's what I call pricing power.
With twice the juice of the earlier iPhone at half the price, the new iPhone is going to sell like mad. (Okay, I confess, I have promised one to each my two teenagers–but they do work around the house anyway!)
So the real question is, how do you make money off this phenomenon?
Apple's stock has followed the market on a bit of a roller-coaster ride these past couple of months (see, "Apple Mac Sales Resilient Despite Sluggish PC Spending.") I recommended it to my GameChangers members at $121 on March 3. It rode up to $190 and has now backed off to $175, mostly in sympathy with the recent results of competitor Research in Motion (RIMM), which I told my readers to sell.
RIMM is a fine company. I have known them since their 1999 IPO. But, RIMM is not a GameChanger, and it is just beginning to hit the wall. The recent quarter was only off by...