Apple (NASDAQ:AAPL) Stock Price Up 1.1% – Here’s Why

Apple Inc. (NASDAQ:AAPL) saw a rise in its stock price, increasing by 1.1% on Friday. The day's trading showed a peak of $236.18, with the stock eventually settling at $234.77. During this mid-day trading session, a total of 17,238,824 shares were exchanged, reflecting a significant decrease of 71% from the usual average volume of 59,993,918 shares. The stock had closed previously at $232.15.

Wall Street Analysts Forecast Growth

Several analysts have recently updated their views on Apple shares. Robert W. Baird raised their price target for Apple from $200.00 to $240.00 and rated the stock as “outperform” in their report released on July 25th. However, StockNews.com downgraded Apple’s rating from “buy” to “hold” in a note dated October 2nd. Meanwhile, Monness Crespi & Hardt maintained a “buy” rating, setting a price target of $245.00 in their report on September 9th. UBS Group confirmed a “hold” rating with a target price of $236.00 in their analysis on a recent Wednesday. Additionally, JPMorgan Chase & Co. reiterated an “overweight” rating with a price objective of $265.00 as of September 10th. The consensus shows a mix of opinions, with one analyst recommending a sell, thirteen advising to hold, twenty-two rating it as buy, and one strongly buying the stock. As per MarketBeat.com, the overall consensus rating for Apple stands at “Moderate Buy” with an average target price of $239.27.

Apple Stock Performance

Apple’s financial metrics indicate a debt-to-equity ratio of 1.29, a quick ratio of 0.91, and a current ratio of 0.95. The company boasts a market capitalization of $3.60 trillion, alongside a price-to-earnings ratio of 36.55 and a PEG ratio of 2.40, with a beta of 1.24. The stock’s 50-day moving average price currently sits at $225.78 while the 200-day moving average price is at $208.11.

On August 1st, Apple released its quarterly earnings report, revealing an earnings per share (EPS) of $1.40, which surpassed the consensus estimate of $1.34 by $0.06. The company generated a revenue of $85.78 billion, exceeding analyst expectations of $84.43 billion. Apple recorded a return on equity of 147.15% and a net margin of 26.44%. Compared to the same quarter last year, quarterly revenue increased by 4.9%. In the previous year during this quarter, Apple posted a $1.26 EPS. Analysts currently forecast that Apple Inc. will achieve 6.65 EPS for the year ahead.

Apple Dividend Announcement

Recently, Apple declared a quarterly dividend payment, which was executed on August 15th. Shareholders registered as of August 12th received a dividend of $0.25 per share. The ex-dividend date fell on the same date, marking an annualized dividend of $1.00, corresponding to a yield of 0.43%. Apple's current payout ratio stands at 15.55%.

Insider Buying and Selling at Apple

In other developments, CEO Timothy D. Cook conducted a stock sale involving 223,986 shares on October 2nd, selling them at an average price of $224.46, totaling approximately $50.28 million. Following this transaction, he holds around 3,280,180 shares valued at approximately $736.27 million. This sale had a negligible impact on his ownership percentage. Additionally, CFO Luca Maestri sold 59,305 shares on October 4th at an average price of $226.52, equating to around $13.43 million. Post-transaction, he possesses 107,788 shares valued at $24.42 million. In the last quarter, insiders sold a total of 517,924 shares worth approximately $114.79 million. Insiders currently own about 0.06% of Apple’s stock.

Institutional Investors Weigh In On Apple

Recently, several hedge funds adjusted their holdings in Apple. Mid American Wealth Advisory Group Inc. increased its stake in Apple by 26.4% in the first quarter, amassing 14,193 shares valued at $2.43 million after adding 2,967 shares. CJM Wealth Advisers Ltd. raised its position by 0.5% during the same period, owning 18,528 shares worth $3.18 million after acquiring an additional 100 shares. Rise Advisors LLC expanded its stake in Apple by 133.9%, bringing its total share ownership to 4,523, with a value of $776,000 after an increase of 2,589 shares. Osher Van de Voorde Investment Management bolstered its holdings by 10%, owning 101,555 shares currently valued at $17.42 million after acquiring an additional 9,230 shares. Finally, Alaska Permanent Fund Corp increased its position by 3.2% during the first quarter, holding 26,107 shares worth $4.48 million after buying 818 extra shares. Institutional investors and hedge funds own a combined 60.41% of Apple’s stock.

About Apple

Apple Inc. specializes in designing, manufacturing, and marketing a variety of electronics, including smartphones, personal computers, tablets, wearables, and accessories. The company’s well-known products include the iPhone, Mac computers, iPad tablets, and wearable devices such as AirPods and Apple Watch, along with accessories like Apple TV and HomePod.

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