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Apple (AAPL) Gains But Lags Market: What You Should Know
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Apple (AAPL - Free Report) closed at $143.75 in the latest trading session, marking a +0.94% move from the prior day. This move lagged the S&P 500's daily gain of 1.14%. Elsewhere, the Dow gained 1.12%, while the tech-heavy Nasdaq lost 0.02%.
Investors will be hoping for strength from Apple as it approaches its next earnings release, which is expected to be October 27, 2022. The company is expected to report EPS of $1.26, up 1.61% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $88.26 billion, up 5.88% from the year-ago period.
Investors should also note any recent changes to analyst estimates for Apple. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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 0.02% lower within the past month. Apple is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, Apple currently has a Forward P/E ratio of 21.91. Its industry sports an average Forward P/E of 6.29, so we one might conclude that Apple is trading at a premium comparatively.
It is also worth noting that AAPL currently has a PEG ratio of 1.75. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. AAPL's industry had an average PEG ratio of 2.03 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 238, which puts it in the bottom 6% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Apple (AAPL) Gains But Lags Market: What You Should Know
Apple (AAPL - Free Report) closed at $143.75 in the latest trading session, marking a +0.94% move from the prior day. This move lagged the S&P 500's daily gain of 1.14%. Elsewhere, the Dow gained 1.12%, while the tech-heavy Nasdaq lost 0.02%.
Investors will be hoping for strength from Apple as it approaches its next earnings release, which is expected to be October 27, 2022. The company is expected to report EPS of $1.26, up 1.61% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $88.26 billion, up 5.88% from the year-ago period.
Investors should also note any recent changes to analyst estimates for Apple. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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 0.02% lower within the past month. Apple is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, Apple currently has a Forward P/E ratio of 21.91. Its industry sports an average Forward P/E of 6.29, so we one might conclude that Apple is trading at a premium comparatively.
It is also worth noting that AAPL currently has a PEG ratio of 1.75. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. AAPL's industry had an average PEG ratio of 2.03 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 238, which puts it in the bottom 6% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.