Page 1097 - How to Make Money in Stocks Trilogy

Buying Checklist 83

Apple vs. Dell July 2009

The checklist results clearly show Apple (Company A) was demonstrating
much more strength than Dell (Company B).
The return of founder Steve Jobs in 1997 spurred a phenomenal period of
®
innovation for Apple. The iPod , iTunes , iPhone and the “app” ecosystem
®
®
were revolutionizing the music and smartphone industries, leading to the
explosive earnings growth you saw above.
Dell had been following a different trajectory. While still a major player
in the computer industry, Dell’s growth had slowed dramatically compared
to the 1990s. Founder Michael Dell’s return as CEO in 2005 failed to reju-
venate the company in the way Jobs’s return had for Apple.

What Happened Next?
Subsequent Gains for Apple and Dell

Apple vs Dell 454
442
July 2009 - April 2012 Apple 430
418
340% 406
394
382
370
358
346
334
322
310
298
286
274
262
250
238
226
214
Dell 202
190
27% 178
166
154
142
130
118
106 © 2013 Investor’s Business Daily, Inc.
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82
70
2010 2011 2012
Look at the huge difference in those gains. That’s why you want to put
®
your money into stocks that have CAN SLIM traits.
When you’re screening stocks, your choices won’t always be that clear-
cut. But 100+ years of market history make the most essential point very
clear.