GO
Loading...

Kaminsky's Call: Would You Have Sold Apple in 1996?

My friend and colleague, Becky Quick, recently interviewed some of the greatest minds on Wall Street and asked them to reveal the worst trade they ever made. It's a fascinating premise whose segments are running on Squawk Box and Power Lunch. It got me thinking of my own decision-making low as a money manager. It is so historically horrible that it is almost comical. Almost.

You know that little company called Apple ? We owned the stock and sold it. In 1996.

Then called Apple Computer, the position was actually one of our largest investments when I was co-managing the Private Banking Group at Cowen.

The issue of the day for the company was of all things, management. Rumors of CEO Michael Spindler's ouster circulated as did speculation that Sony was going to take over the company.

I was then quoted in the New York Times, questioning whether the company was going to survive at all.

We felt fortunate to sell and break even.

Two million shares, people. Of Apple. The stock was trading at under $7 a share.

If you'd like to calculate the value of how much the investment would be worth today, send in the figure to strategysession@cnbc.com. Go ahead, you can rub it in.

As for that Sony takeover rumor, let's compare market caps. Sony Corporation is worth approximately $33 billion. Apple is nearing $300 billion.

Becky's first installment had Warren Buffetswinging and missing and even the greatest sluggers do strike out from time to time.

But did my whiff really have to be the stock of the decade with its pipeline of products that defined a generation of consumers?

One can only laugh. Almost.

Programming note: "The Strategy Session," hosted by David Faber and Gary Kaminsky, airs weekdays at Noon ET on CNBC.

DISCLOSURE:
Gary Kaminsky does not hold any equity positions.

DISCLAIMER:
The content of this blog is published in the United States of America and persons who access it agree to do so in accordance with applicable U.S. law.

All opinions expressed in this blog are solely the opinions of Gary Kaminsky and do not reflect the opinions of CNBC, NBC UNIVERSAL or their parent company or affiliates, and may have been previously disseminated on television, radio, internet or another medium. You should not treat any opinion expressed by Mr. Kaminsky as a specific inducement to make a particular investment or follow a particular strategy, but only as an expression of his opinion. Mr. Kaminsky’s opinions are based upon information he considers reliable, but neither CNBC nor its affiliates and/or subsidiaries warrant its completeness or accuracy, and it should not be relied upon as such. Mr. Kaminsky, CNBC, its affiliates and/or subsidiaries are not under any obligation to update or correct any information provided on this website. Mr. Kaminsky’s statements and opinions are subject to change without notice. No part of Mr. Kaminsky’s compensation from CNBC is related to the specific opinions he expresses.

Past performance is not indicative of future results. Neither Mr. Kaminsky nor CNBC guarantees any specific outcome or profit. You should be aware of the real risk of loss in following any strategy or investment discussed on this website or on the show. Strategies or investments discussed may fluctuate in price or value. Investors may get back less than invested. Investments or strategies mentioned on this website or on the show may not be suitable for you. This material does not take into account your particular investment objectives, financial situation or needs and is not intended as recommendations appropriate for you. You must make an independent decision regarding investments or strategies mentioned on this website or on the show. Before acting on information on this website or on the show, you should consider whether it is suitable for your particular circumstances and strongly consider seeking advice from your own financial or investment adviser.

Symbol
Price
 
Change
%Change
6758.T
---
AAPL
---