In the latest trading session, Apple (AAPL - Free Report) closed at $223.77, marking a -0.14% move from the previous day. This move lagged the S&P 500's daily loss of 0.04%. Meanwhile, the Dow gained 0.15%, and the Nasdaq, a tech-heavy index, lost 0.67%.
Prior to today's trading, shares of the maker of iPhones, iPads and other products had gained 0.53% over the past month. This has outpaced the Computer and Technology sector's loss of 1.53% and the S&P 500's gain of 0.02% in that time.
Wall Street will be looking for positivity from AAPL as it approaches its next earnings report date. This is expected to be November 1, 2018. On that day, AAPL is projected to report earnings of $2.77 per share, which would represent year-over-year growth of 33.82%. Our most recent consensus estimate is calling for quarterly revenue of $61.40 billion, up 16.77% from the year-ago period.
Investors might also notice recent changes to analyst estimates for AAPL. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.39% higher within the past month. AAPL currently has a Zacks Rank of #2 (Buy).
Investors should also note AAPL's current valuation metrics, including its Forward P/E ratio of 16.68. Its industry sports an average Forward P/E of 17.04, so we one might conclude that AAPL is trading at a discount comparatively.
Investors should also note that AAPL has a PEG ratio of 1.73 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Computer - Mini computers industry currently had an average PEG ratio of 1.92 as of yesterday's close.
The Computer - Mini computers industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 12, which puts it in the top 5% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.