Apple (NASDAQ:AAPL) Stock Price Up 0.5% - Still a Buy?

On Thursday, shares of Apple Inc. (NASDAQ:AAPL) experienced a modest increase, rising by 0.5% during mid-day trading. The stock reached a peak price of $217.49 before settling at $216.35. In total, about 8,786,211 shares changed hands, which is significantly lower than the average daily volume of 52,705,436 shares. The previous closing price was reported at $215.24.

Wall Street Analysts Forecast Growth

Several analysts have shared their insights regarding Apple recently. On January 28th, TD Cowen maintained a "buy" rating for Apple shares. However, on January 29th, Oppenheimer revised Apple's rating from "outperform" to "market perform." Additionally, Sanford C. Bernstein increased their target price for Apple from $240.00 to $260.00 and awarded the company an "outperform" rating on January 3rd. Loop Capital downgraded Apple from a "buy" to a "hold" rating with a set price target of $230.00 on January 21st. Moffett Nathanson also reaffirmed a "sell" rating with a revised price target of $188.00, down from $202.00, in a report dated January 7th. Overall, among various analysts, there are four that rated the stock as a sell, ten as a hold, and twenty-one as a buy, with two issuing a strong buy rating. As of now, the consensus rating for Apple’s stock is classified as a "Moderate Buy" with an average price target of $243.65.

Apple Stock Performance and Financial Metrics

Currently, Apple has a market capitalization of $3.20 trillion and is trading with a P/E ratio of 33.90 along with a P/E/G ratio of 2.44. The company’s beta stands at 1.18, indicating greater volatility compared to the market. Its debt-to-equity ratio is 1.26, while the current and quick ratios are recorded at 0.92 and 0.88, respectively. The average price of Apple's stock over the past 50 days is $232.76, and for the past 200 days, it is $233.47.

Apple announced its quarterly earnings results on January 30th, where it reported earnings of $2.40 per share. This result exceeded the analysts’ consensus estimate of $2.36 by $0.04. The company maintains a net margin of 24.30% and boasts a return on equity of 160.83%. Analysts predict that Apple Inc. will post an earnings per share (EPS) of 7.28 for the current fiscal year.

Apple’s Dividend Announcement

Recently, Apple declared a quarterly dividend, which was disbursed on February 13th. Shareholders who were on record by February 10th received a dividend payment of $0.25. This translates to an annual dividend of $1.00, resulting in a yield of 0.47%. The ex-dividend date was also set on February 10th. Currently, Apple's dividend payout ratio (DPR) stands at 15.87%.

Institutional Investors Weigh In On Apple

Large institutional investors have either increased or decreased their holdings in Apple recently. Drystone LLC initiated a new position in Apple during the fourth quarter valued at approximately $25,000. Bull Oak Capital LLC significantly increased its stake in Apple by 252.3% during the third quarter, now holding 155 shares valued at $36,000, after acquiring an additional 111 shares. Life Planning Partners Inc., Conquis Financial LLC, and LSV Asset Management also reported new stakes with investments in Apple's stock during the fourth quarter. Overall, institutional investors currently control 67.73% of Apple's stock.

Company Overview

Apple Inc. specializes in the design, manufacture, and marketing of smartphones, personal computers, tablets, wearables, and accessories across the globe. Its product line includes iPhones, Mac computers, iPads, and various wearables, home, and accessories, which feature products such as AirPods, Apple TV, Apple Watch, Beats, and the HomePod.

Investment Considerations

Before considering an investment in Apple, potential investors should be aware that while the stock currently has a "Moderate Buy" rating from analysts, there are other stocks that featured higher recommendations. MarketBeat keeps track of the top-rated research analysts and highlights stocks they believe are prime for investment right now, and notably, Apple does not appear on that list of recommended stocks.

Apple, Stock, Buy