Is Apple stock Overvalued? (2024)

Is Apple stock Overvalued?

With its 2-star rating, we believe Apple's stock is overvalued compared with our long-term fair value estimate of $160 per share. Our valuation implies a fiscal 2024 adjusted price/earnings multiple of 25 times, a fiscal 2024 enterprise value/sales multiple of 7 times, and a fiscal 2024 free cash flow yield of 4%.

Is Apple currently undervalued?

Over the past twelve months the share price is up 1.19%. Based on the DCF valuation, the stock is overvalued. The DCF value of $112.24 per share is lower than the current market price of $167.20. The Margin of Safety is -48.97%.

Is Apple stock fair value?

Apple's EPS without NRI for the trailing twelve months (TTM) ended in Dec. 2023 was $6.42. Therefore, the Peter Lynch Fair Value for today is $117.49. As of today (2024-04-18), Apple's share price is $167.93.

How high will Apple stock go in 5 years?

We expect the stock to reach $237 per share by the end of 2025. End of 2026: We predict that Apple's stock price could further increase to $298, driven by continuing interest rate reductions.

What does Warren Buffett think of Apple stock?

Warren Buffett told Berkshire Hathaway shareholders last year that Apple (NASDAQ: AAPL) was a "better business than any we own." And he has put his money where his mouth is through the years. Apple ranks as Berkshire's biggest holding by far. It makes up a whopping 44.3% of the conglomerate's portfolio.

Why not to invest in Apple?

While it's difficult to find reasons not to like Apple's business, there's one important reason that investors should hesitate before buying the stock: valuation. As of this writing, shares trade at a price-to-earnings ratio of 29.8. This is significantly more expensive than Apple's trailing-10-year average of 20.8.

Is Apple a buy or sell right now?

Apple's analyst rating consensus is a Moderate Buy. This is based on the ratings of 28 Wall Streets Analysts.

How high is Apple stock expected to go?

Apple Stock Forecast

The 30 analysts with 12-month price forecasts for Apple stock have an average target of 204.93, with a low estimate of 158 and a high estimate of 250. The average target predicts an increase of 24.20% from the current stock price of 165.00.

Which stocks are currently undervalued?

What is the intrinsic value of Apple in 2024?

As of 2024-03-04, Apple Inc's intrinsic value as calculated by the Discounted Earnings model is $155.47. It's currently trading at a price of $179.66.

How much is $10,000 invested in Apple 20 years ago?

Those gains translate to a 36.6% compound annual growth rate for Apple compared to a 7.4% CAGR for the S&P 500 in that time. That means that $10,000 in AAPL stock purchased 20 years ago would be worth about $5.08 million today, assuming reinvested dividends.

Can Apple stock reach $300?

Presuming the sales and earnings-based pricing paradigm remains in place, the stock's current price near $200 could be closer to $300 five years from now. The one potential game-changer is if Apple comes up with a new and completely unexpected must-have product that could shake up these expectations for the better.

What is the most profitable stock in 5 years?

Why did Buffett sell Apple?

Beneficial capital allocation

This massive position provides a financial windfall. Apple pays a dividend that yields a measly 0.52%. But based on the current quarterly payout of $0.24, Buffett's firm receives an annualized $879 million from its equity position in the tech giant.

How much did Warren Buffett lose on Apple stock?

Berkshire Hathaway, the conglomerate led by Warren Buffett, reduced its holdings in Apple by approximately 1% during the final quarter of 2023, according to recent Securities and Exchange Commission (SEC) filings.

What stock does Warren Buffett recommend?

Although old-guard favorites such as American Express (AXP) and Coca-Cola (KO) still form the core of the portfolio, Buffett & Co. have taken a shine to names such as Apple (AAPL) and Amazon.com (AMZN), and even to lesser-known firms such as Snowflake (SNOW) and Nu Holdings (NU).

Should I sell or hold Apple stock?

Apple Inc(AAPL-Q) Frequently Asked Questions

50 analysts recommended to BUY the stock. 19 analysts recommended to SELL the stock.

Is Apple a high risk stock?

Risk Analysis of Apple Inc ( AAPL | USA)

"The Risk Score is a relevant measure for the assessment of a stock attractiveness. Apple Inc shows a Risk Score of 9.00.

Why is Apple stock so weak?

The reported slump in iPhone sales in China, which builds on the slow iPhone growth narrative weighing on Apple earlier this year, coincides with mounting analyst concerns about Apple falling behind its big tech peers in AI.

What is Apple's forecast for 2024?

After Apple's recent earnings report, 43 analysts projected the company's 2024 revenue to come in at $388.3 billion, similar to the previous 12 months. Predicted earnings per share stood at $6.55, also consistent with last year's results.

Is Tesla a buy sell or hold?

Is Tesla stock a Buy, Sell or Hold? Tesla stock has received a consensus rating of buy. The average rating score is and is based on 46 buy ratings, 33 hold ratings, and 15 sell ratings.

What is the Apple 5 year forecast?

Apple Inc quote is equal to 164.960 USD at 2024-04-21. Based on our forecasts, a long-term increase is expected, the "AAPL" stock price prognosis for 2029-04-11 is 304.300 USD. With a 5-year investment, the revenue is expected to be around +84.47%. Your current $100 investment may be up to $184.47 in 2029.

Who owns the most Apple stock?

Arthur D.

Contrary to common belief, Tim Cook, Apple's CEO, is not the company's largest individual shareholder. Arthur Levinson is Apple's largest individual shareholder, owning 4.43 million shares as of February 2024.

Who is the largest shareholder of Apple?

Largest shareholders include Vanguard Group Inc, BlackRock Inc., Berkshire Hathaway Inc, State Street Corp, VTSMX - Vanguard Total Stock Market Index Fund Investor Shares, VFINX - Vanguard 500 Index Fund Investor Shares, Geode Capital Management, Llc, Fmr Llc, Morgan Stanley, and Price T Rowe Associates Inc /md/ .

Who are the largest shareholders of Apple?