{"id":20478,"date":"2020-05-07T09:39:57","date_gmt":"2020-05-07T09:39:57","guid":{"rendered":"https:\/\/thepatientinvestor.com\/?p=20478"},"modified":"2020-05-07T09:39:57","modified_gmt":"2020-05-07T09:39:57","slug":"apple-inc-aapl-2","status":"publish","type":"post","link":"https:\/\/thepatientinvestor.com\/index.php\/2020\/05\/07\/apple-inc-aapl-2\/","title":{"rendered":"Apple Inc (AAPL)"},"content":{"rendered":"\n\n\n\n\n\n\n\n\n\n\n
Stock:<\/td>\nApple Inc
\n<\/strong><\/td>\n<\/tr>\n
Exchange:<\/td>\nNASDAQ<\/td>\nSymbol:<\/td>\nAAPL<\/strong><\/td>\n<\/tr>\n
Date:<\/td>\n7-May-20<\/td>\nLatest price:<\/td>\n$300.63<\/strong><\/td>\n<\/tr>\n
Market Cap:<\/td>\n$1.3 Tn<\/td>\nFair Value:<\/td>\n$181.52<\/strong><\/td>\n<\/tr>\n
Forward P\/E:<\/td>\n25.06<\/td>\nFV Payback (Years):<\/td>\n11<\/td>\n<\/tr>\n
Forward Dividend Yield:<\/td>\n1.10%<\/td>\nDebt\/FCF:<\/td>\n2.1<\/td>\n<\/tr>\n
Financial Y\/E:<\/td>\n28-Sep-20<\/td>\nRating:<\/td>\nHOLD<\/strong><\/td>\n<\/tr>\n
Sector:<\/td>\nTechnology<\/td>\nIndustry:<\/td>\nConsumer Electronics<\/td>\n<\/tr>\n
Investment Theme:<\/td>\nLT Growth<\/td>\nStructural Trends:<\/td>\nGrowth of online services<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Summary<\/h2>\n

We consider Apple (AAPL) to be priced above fair value, but the technical outlook is bullish.<\/p>\n

We rate the stock as a HOLD<\/em> but have not included it in our model portfolio because of declining long-term revenue growth.<\/p>\n

Valuation<\/h2>\n

We project annual revenue to fall 15% in the next 12 months, recovering to 7% growth in the long-term. Estimated fair value is $181.52 with a payback period of 11 years.<\/p>\n

The payback period recognizes AAPL’s strong market position but also its reliance on continuing sales of devices (as opposed to services).<\/p>\n

Technical Analysis<\/h2>\n

AAPL continues in a primary up-trend, but expect strong resistance at its Feb high of 325. A Declining Trend Index warns of secondary selling pressure. Respect of resistance at 325 would suggest another test of primary support at 230.<\/p>\n

\"Twiggs<\/p>\n

Company Profile<\/h2>\n

Apple was a pioneer of the personal computer revolution, introducing the Macintosh in 1984. Today, Apple is a world leader in five areas of consumer electronics:<\/p>\n