Apple (AAPL) closed the most recent trading day at $249.79, moving +0.7% from the previous trading session. The stock’s performance was ahead of the S&P 500’s daily loss of 0.09%. On the other hand, the Dow registered a gain of 0.04%, and the technology-centric Nasdaq decreased by 0.1%.
Heading into today, shares of the maker of iPhones, iPads and other products had gained 8.32% over the past month, outpacing the Computer and Technology sector’s gain of 3.04% and the S&P 500’s loss of 0.29% in that time.
Market participants will be closely following the financial results of Apple in its upcoming release. It is anticipated that the company will report an EPS of $2.36, marking an 8.26% rise compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $124.1 billion, reflecting a 3.78% rise from the equivalent quarter last year.
AAPL’s full-year Zacks Consensus Estimates are calling for earnings of $7.43 per share and revenue of $412.79 billion. These results would represent year-over-year changes of +10.07% and +5.56%, respectively.
It’s also important for investors to be aware of any recent modifications to analyst estimates for Apple. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts’ positivity towards the company’s business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we’ve established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.02% increase. As of now, Apple holds a Zacks Rank of #3 (Hold).
In terms of valuation, Apple is currently trading at a Forward P/E ratio of 33.39. This valuation marks a premium compared to its industry’s average Forward P/E of 12.96.
One should further note that AAPL currently holds a PEG ratio of 2.43. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock’s expected earnings growth rate. The Computer – Micro Computers was holding an average PEG ratio of 1.74 at yesterday’s closing price.
The Computer – Micro Computers industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 82, positioning it in the top 33% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Apple Inc. (AAPL) : Free Stock Analysis Report