We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Apple (AAPL) Outpaces Stock Market Gains: What You Should Know
Read MoreHide Full Article
Apple (AAPL - Free Report) closed at $166.07 in the latest trading session, marking a +1.3% move from the prior day. This change outpaced the S&P 500's 0.01% gain on the day. At the same time, the Dow added 0.35%, and the tech-heavy Nasdaq gained 0.45%.
Prior to today's trading, shares of the maker of iPhones, iPads and other products had lost 11.79% over the past month. This has lagged the Computer and Technology sector's loss of 5.51% and the S&P 500's loss of 7.29% in that time.
AAPL will be looking to display strength as it nears its next earnings release, which is expected to be February 7, 2019. In that report, analysts expect AAPL to post earnings of $4.72 per share. This would mark year-over-year growth of 21.34%. Meanwhile, our latest consensus estimate is calling for revenue of $91.49 billion, up 3.62% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $13.33 per share and revenue of $277.67 billion. These totals would mark changes of +11.92% and +4.54%, respectively, from last year.
Any recent changes to analyst estimates for AAPL should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.77% lower. AAPL is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, AAPL is holding a Forward P/E ratio of 12.3. For comparison, its industry has an average Forward P/E of 14.27, which means AAPL is trading at a discount to the group.
Also, we should mention that AAPL has a PEG ratio of 1.18. 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 - Mini computers was holding an average PEG ratio of 1.96 at yesterday's closing price.
The Computer - Mini computers industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 52, putting it in the top 20% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Apple (AAPL) Outpaces Stock Market Gains: What You Should Know
Apple (AAPL - Free Report) closed at $166.07 in the latest trading session, marking a +1.3% move from the prior day. This change outpaced the S&P 500's 0.01% gain on the day. At the same time, the Dow added 0.35%, and the tech-heavy Nasdaq gained 0.45%.
Prior to today's trading, shares of the maker of iPhones, iPads and other products had lost 11.79% over the past month. This has lagged the Computer and Technology sector's loss of 5.51% and the S&P 500's loss of 7.29% in that time.
AAPL will be looking to display strength as it nears its next earnings release, which is expected to be February 7, 2019. In that report, analysts expect AAPL to post earnings of $4.72 per share. This would mark year-over-year growth of 21.34%. Meanwhile, our latest consensus estimate is calling for revenue of $91.49 billion, up 3.62% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $13.33 per share and revenue of $277.67 billion. These totals would mark changes of +11.92% and +4.54%, respectively, from last year.
Any recent changes to analyst estimates for AAPL should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.77% lower. AAPL is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, AAPL is holding a Forward P/E ratio of 12.3. For comparison, its industry has an average Forward P/E of 14.27, which means AAPL is trading at a discount to the group.
Also, we should mention that AAPL has a PEG ratio of 1.18. 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 - Mini computers was holding an average PEG ratio of 1.96 at yesterday's closing price.
The Computer - Mini computers industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 52, putting it in the top 20% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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.