Apple (AAPL) Stock Analysis
This is a peer-relative look at Apple (AAPL): its performance, risk, profitability, growth, financial strength, dividend, and valuation are each measured against its Technology Hardware & Equipment peers, so every number reads in context rather than in isolation.
Company Profile
| Profile Item | AAPL |
|---|---|
| Name | Apple Inc. |
| Country/Region | United States |
| GICS Sector | Information Technology |
| GICS Industry Group | Technology Hardware & Equipment |
| GICS Industry | Technology Hardware, Storage & Peripherals |
| GICS Sub-Industry | Technology Hardware, Storage & Peripherals |
| Market Capitalization | 4,813.63 billion USD |
| Currency | USD |
| Exchange | Nasdaq |
| Listing Date | December 12, 1980 |
| Security Type | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | Current stock: AAPL | Industry group median |
|---|---|---|
| Total Return (1Y) | 54.86% | 50.82% |
| Total Return (3Y, Annualized) | 20.08% | 23.86% |
| Total Return (5Y, Annualized) | 18.25% | 14.34% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | Current stock: AAPL | Industry group median |
|---|---|---|
| Volatility (1Y, Annualized) | 24.54% | 55.04% |
| Beta (5Y) | 1.09 | 1.32 |
| Max Drawdown (5Y) | -33.36% | -55.60% |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | Current stock: AAPL | Industry group median |
|---|---|---|
| Sharpe Ratio (1Y) | 2.07 | 0.95 |
| Sortino Ratio (1Y) | 3.33 | 1.40 |
Profitability
ROE (TTM)
Apple (AAPL) posts ROE of 141.47%, above the industry benchmark range. Equity is being turned into profit at an exceptional rate, but very high ROE should still be checked against leverage, buybacks, and the size of the equity base.
AAPL
Technology Hardware & Equipment industry group
141.47%
Group distribution
- AAPL
- 141.47%
- Max
- 44.16%
- Q3
- 18.89%
- Median
- 10.96%
- Q1
- 0.11%
- Min
- -25.92%
Largest peers
- STX
- 1,787.97%
- AAPL
- 141.47%
- SNDK
- 39.30%
- APH
- 36.83%
- ANET
- 31.52%
- CSCO
- 25.23%
- DELL
- --
Net Margin (TTM)
Apple (AAPL) keeps 27.15% of revenue as net profit, putting net margin in the upper peer quartile. After operating costs, interest, and taxes, more of each sales dollar reaches shareholders than it does at most industry peers.
AAPL
Technology Hardware & Equipment industry group
27.15%
Group distribution
- AAPL
- 27.15%
- Max
- 27.15%
- Q3
- 12.01%
- Median
- 4.40%
- Q1
- 0.00%
- Min
- -14.09%
Largest peers
- ANET
- 38.32%
- SNDK
- 34.19%
- AAPL
- 27.15%
- STX
- 21.60%
- CSCO
- 19.69%
- APH
- 17.24%
- DELL
- 6.28%
Operating Margin (TTM)
Apple (AAPL) turns 32.28% of revenue into operating profit, putting operating margin in the upper peer quartile. Before financing and taxes enter the picture, the day-to-day business keeps more of each sales dollar than most industry peers.
AAPL
Technology Hardware & Equipment industry group
32.28%
Group distribution
- AAPL
- 32.28%
- Max
- 32.28%
- Q3
- 15.14%
- Median
- 6.42%
- Q1
- 1.49%
- Min
- -18.45%
Largest peers
- SNDK
- 69.98%
- ANET
- 42.74%
- STX
- 35.67%
- AAPL
- 32.28%
- APH
- 27.31%
- CSCO
- 24.99%
- DELL
- 8.86%
Profitability Metrics
| Metric | Current stock: AAPL | Industry group median |
|---|---|---|
| ROE (TTM) | 141.47% | 10.96% |
| ROA (TTM) | 26.23% | 4.19% |
| Net Margin (TTM) | 27.15% | 4.40% |
| Operating Margin (TTM) | 32.28% | 6.42% |
| Gross Margin (TTM) | 47.86% | 38.91% |
Growth
Revenue Growth
Apple (AAPL) grew revenue 6.43%, roughly around the peer group's normal range. Top-line momentum looks broadly typical for the industry.
EPS Growth
Apple (AAPL) grew earnings per share 22.70%, roughly around the peer group's normal range. Bottom-line momentum looks broadly typical for the industry.
Growth Metrics
| Metric | Current stock: AAPL | Industry group median |
|---|---|---|
| Revenue Growth (YoY) | 6.43% | 8.73% |
| Revenue Growth (3Y CAGR) | 1.81% | 1.90% |
| EPS Growth (YoY) | 22.70% | 10.07% |
| EPS Growth (3Y CAGR) | 6.88% | 3.15% |
Financial Strength
Current Ratio (MRQ)
Apple (AAPL) has current ratio of 1.07, in the tighter-liquidity quartile for its industry. The short-term cushion is thinner than most peers carry, even if the absolute comfort level still depends on the business model.
AAPL
Technology Hardware & Equipment industry group
1.07
Group distribution
- Max
- 5.80
- Q3
- 3.15
- Median
- 1.96
- Q1
- 1.29
- AAPL
- 1.07
- Min
- 0.40
Largest peers
- SNDK
- 4.78
- ANET
- 2.83
- APH
- 1.71
- STX
- 1.33
- AAPL
- 1.07
- DELL
- 0.95
- CSCO
- 0.93
Debt / Equity (MRQ)
Apple (AAPL) has debt-to-equity ratio of 0.80, roughly in line with the peer group’s normal leverage range. Its mix of debt and equity looks typical for the industry.
AAPL
Technology Hardware & Equipment industry group
0.80
Group distribution
- Max
- 2.02
- Q3
- 0.88
- AAPL
- 0.80
- Median
- 0.31
- Q1
- 0.06
- Min
- 0.00
Largest peers
- STX
- 3.82
- APH
- 1.33
- AAPL
- 0.80
- CSCO
- 0.68
- SNDK
- 0.02
- DELL
- --
- ANET
- --
Financial Strength Metrics
| Metric | Current stock: AAPL | Industry group median |
|---|---|---|
| Current Ratio (MRQ) | 1.07 | 1.96 |
| Debt / Equity (MRQ) | 0.80 | 0.31 |
| Net Debt / EBITDA | 0.10 | 0.95 |
Dividends
Dividend Yield (TTM)
Apple (AAPL) has dividend yield of 0.32%, in the industry’s normal income range. It provides a meaningful dividend without the red flag of an unusually high headline yield.
AAPL
Technology Hardware & Equipment industry group
0.32%
Group distribution
- Max
- 0.84%
- Q3
- 0.36%
- AAPL
- 0.32%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- CSCO
- 1.49%
- DELL
- 0.58%
- APH
- 0.55%
- STX
- 0.36%
- AAPL
- 0.32%
- SNDK
- 0.00%
- ANET
- 0.00%
Dividend Payout Ratio (TTM)
Apple (AAPL) has payout ratio of 12.59%, within the industry’s typical payout band. The dividend shares profits with investors while leaving earnings coverage that looks normal for the peer group.
AAPL
Technology Hardware & Equipment industry group
12.59%
Group distribution
- Max
- 37.10%
- Q3
- 15.24%
- AAPL
- 12.59%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Largest peers
- CSCO
- 55.00%
- STX
- 27.70%
- APH
- 23.85%
- DELL
- 17.57%
- AAPL
- 12.59%
- SNDK
- 0.00%
- ANET
- 0.00%
Dividend Metrics
| Metric | Current stock: AAPL | Industry group median |
|---|---|---|
| Dividend Yield (TTM) | 0.32% | 0.00% |
| Dividend Payout Ratio (TTM) | 12.59% | 0.00% |
Valuation
P/E Ratio (TTM)
Apple (AAPL) trades at P/E ratio of 39.53, near the industry’s usual earnings multiple. The stock is not showing a clear peer discount or premium on trailing earnings.
AAPL
Technology Hardware & Equipment industry group
39.53
Group distribution
- Max
- 144.77
- Q3
- 72.63
- AAPL
- 39.53
- Median
- 37.17
- Q1
- 22.68
- Min
- 8.96
Largest peers
- STX
- 76.36
- ANET
- 58.19
- SNDK
- 47.62
- APH
- 43.24
- AAPL
- 39.53
- CSCO
- 37.39
- DELL
- 30.39
P/S Ratio (TTM)
Apple (AAPL) trades at 10.66 on P/S ratio, in the higher sales-valuation quartile. Investors are paying up for each dollar of revenue, so stronger margins, growth, or revenue quality need to carry that price.
AAPL
Technology Hardware & Equipment industry group
10.66
Group distribution
- Max
- 16.05
- AAPL
- 10.66
- Q3
- 7.77
- Median
- 3.47
- Q1
- 1.40
- Min
- 0.00
Largest peers
- ANET
- 22.64
- STX
- 18.33
- SNDK
- 17.85
- AAPL
- 10.66
- APH
- 7.49
- CSCO
- 7.28
- DELL
- 1.95
P/B Ratio (MRQ)
Apple (AAPL) trades at 45.14 on P/B ratio, above the industry benchmark range. Investors are putting an unusually rich price on each dollar of book equity relative to peers.
AAPL
Technology Hardware & Equipment industry group
45.14
Group distribution
- AAPL
- 45.14
- Max
- 17.07
- Q3
- 8.65
- Median
- 3.87
- Q1
- 2.08
- Min
- -0.84
Largest peers
- STX
- 182.75
- AAPL
- 45.14
- SNDK
- 17.07
- ANET
- 16.30
- APH
- 13.88
- CSCO
- 9.05
- DELL
- -186.85
Valuation Metrics
| Metric | Current stock: AAPL | Industry group median |
|---|---|---|
| P/E Ratio (TTM) | 39.53 | 37.17 |
| P/S Ratio (TTM) | 10.66 | 3.47 |
| P/B Ratio (MRQ) | 45.14 | 3.87 |
| Free Cash Flow Yield (TTM) | 2.10% | 1.98% |