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Apple (AAPL) Dips More Than Broader Markets: What You Should Know
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Apple (AAPL - Free Report) closed the most recent trading day at $143.21, moving -1.55% from the previous trading session. This change lagged the S&P 500's daily loss of 0.61%. Meanwhile, the Dow lost 0.42%, and the Nasdaq, a tech-heavy index, added 0.17%.
Prior to today's trading, shares of the maker of iPhones, iPads and other products had lost 3.05% over the past month. This has lagged the Computer and Technology sector's gain of 0.89% and the S&P 500's gain of 0.89% in that time.
Apple will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.94, down 7.62% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $121.22 billion, down 2.2% from the year-ago period.
AAPL's full-year Zacks Consensus Estimates are calling for earnings of $6.19 per share and revenue of $404.04 billion. These results would represent year-over-year changes of +1.31% and +2.46%, respectively.
It is also important to note the recent changes to analyst estimates for Apple. These recent revisions tend to reflect the evolving nature of short-term business trends. 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. 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 1.3% lower. Apple currently has a Zacks Rank of #3 (Hold).
In terms of valuation, Apple is currently trading at a Forward P/E ratio of 23.5. Its industry sports an average Forward P/E of 8.63, so we one might conclude that Apple is trading at a premium comparatively.
Meanwhile, AAPL's PEG ratio is currently 1.88. 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. Computer - Mini computers stocks are, on average, holding a PEG ratio of 2.52 based on yesterday's closing prices.
The Computer - Mini computers industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 180, putting it in the bottom 29% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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) Dips More Than Broader Markets: What You Should Know
Apple (AAPL - Free Report) closed the most recent trading day at $143.21, moving -1.55% from the previous trading session. This change lagged the S&P 500's daily loss of 0.61%. Meanwhile, the Dow lost 0.42%, and the Nasdaq, a tech-heavy index, added 0.17%.
Prior to today's trading, shares of the maker of iPhones, iPads and other products had lost 3.05% over the past month. This has lagged the Computer and Technology sector's gain of 0.89% and the S&P 500's gain of 0.89% in that time.
Apple will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.94, down 7.62% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $121.22 billion, down 2.2% from the year-ago period.
AAPL's full-year Zacks Consensus Estimates are calling for earnings of $6.19 per share and revenue of $404.04 billion. These results would represent year-over-year changes of +1.31% and +2.46%, respectively.
It is also important to note the recent changes to analyst estimates for Apple. These recent revisions tend to reflect the evolving nature of short-term business trends. 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. 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 1.3% lower. Apple currently has a Zacks Rank of #3 (Hold).
In terms of valuation, Apple is currently trading at a Forward P/E ratio of 23.5. Its industry sports an average Forward P/E of 8.63, so we one might conclude that Apple is trading at a premium comparatively.
Meanwhile, AAPL's PEG ratio is currently 1.88. 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. Computer - Mini computers stocks are, on average, holding a PEG ratio of 2.52 based on yesterday's closing prices.
The Computer - Mini computers industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 180, putting it in the bottom 29% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.