The Apple Inc.(NASDAQ:AAPL) stock has corrected nearly 10 percent from the high it had hit on September 21, the day its iPhone 5 was released on store shelves for sale.
Analysts have been cautioning investors about the stock and the general consensus (with some exceptions) seem to be that Apple's growth momentum is slowing down and it will no longer be growing at the scorching pace that it did all these years.
Now TheStreet.com's Jim Cramer had added his two penny's worth and said that the stock has not yet peaked and investors can buy it at the current levels.
On Tuesday, Cramer, in a note said that the 10 percent depreciation in the share price of the most valuable company makes it a compelling Buy story, especially before it releases the sale figures of its iPhone 5 and before it launches its iPad Mini.
"We think this is a buying opportunity for the long term — a 10% discount for a company trading at 10x, excluding cash, with a very strong product profile that just enjoyed a record launch with 100% growth in preorders for its iPhone 5. Apple also has strong upcoming products in the iPad mini, for the new refreshed iPad and for the eventual iTV. The company also commands huge cash position at $120 per share."
He said that the iPhone 5 was having supply constraints - due to its component suppliers - while demand was not a problem as evidenced by the fact that stores were running out of stock and were not able to keep up with the demand for the device.
Apple shares were rather volatile in trades on Tuesday, fluctuating between positive and negative territory before eventually closing down 0.4 percent at $635.85.