271.49 USD
+5.24 (+1.97%)
271.35 USD
-0.14 (-0.05%)
We assign a fundamental rating of 7 out of 10 to AAPL. AAPL was compared to 35 industry peers in the Technology Hardware, Storage & Peripherals industry. AAPL gets an excellent profitability rating and is at the same time showing great financial health properties. AAPL is quite expensive at the moment. It does show a decent growth rate. With these ratings, AAPL could be worth investigating further for quality investing!.
1. Profitability
1.1 Basic Checks
AAPL had positive earnings in the past year.
In the past year AAPL had a positive cash flow from operations.
Each year in the past 5 years AAPL has been profitable.
AAPL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AAPL's Return On Assets of 31.18% is amongst the best of the industry. AAPL outperforms 97.14% of its industry peers.
AAPL's Return On Equity of 151.91% is amongst the best of the industry. AAPL outperforms 100.00% of its industry peers.
AAPL has a better Return On Invested Capital (55.64%) than 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for AAPL is significantly above the industry average of 16.16%.
The 3 year average ROIC (51.04%) for AAPL is below the current ROIC(55.64%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 31.18% | ||
| ROE | 151.91% | ||
| ROIC | 55.64% |
ROA(3y)28.12%
ROA(5y)27.93%
ROE(3y)157.53%
ROE(5y)163.92%
ROIC(3y)51.04%
ROIC(5y)48.21%
1.3 Margins
With an excellent Profit Margin value of 26.92%, AAPL belongs to the best of the industry, outperforming 94.29% of the companies in the same industry.
AAPL's Profit Margin has improved in the last couple of years.
The Operating Margin of AAPL (31.97%) is better than 97.14% of its industry peers.
AAPL's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 46.91%, AAPL belongs to the best of the industry, outperforming 82.86% of the companies in the same industry.
AAPL's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.97% | ||
| PM (TTM) | 26.92% | ||
| GM | 46.91% |
OM growth 3Y1.82%
OM growth 5Y5.77%
PM growth 3Y2.07%
PM growth 5Y5.18%
GM growth 3Y2.69%
GM growth 5Y4.17%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so AAPL is creating value.
The number of shares outstanding for AAPL has been reduced compared to 1 year ago.
AAPL has less shares outstanding than it did 5 years ago.
AAPL has a better debt/assets ratio than last year.
2.2 Solvency
AAPL has an Altman-Z score of 10.57. This indicates that AAPL is financially healthy and has little risk of bankruptcy at the moment.
AAPL's Altman-Z score of 10.57 is amongst the best of the industry. AAPL outperforms 97.14% of its industry peers.
The Debt to FCF ratio of AAPL is 1.00, which is an excellent value as it means it would take AAPL, only 1.00 years of fcf income to pay off all of its debts.
AAPL has a better Debt to FCF ratio (1.00) than 88.57% of its industry peers.
A Debt/Equity ratio of 1.17 is on the high side and indicates that AAPL has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.17, AAPL is doing worse than 68.57% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for AAPL, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 1 | ||
| Altman-Z | 10.57 |
ROIC/WACC6.48
WACC8.59%
2.3 Liquidity
A Current Ratio of 0.89 indicates that AAPL may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.89, AAPL is doing worse than 77.14% of the companies in the same industry.
A Quick Ratio of 0.86 indicates that AAPL may have some problems paying its short term obligations.
AAPL has a Quick ratio of 0.86. This is comparable to the rest of the industry: AAPL outperforms 51.43% of its industry peers.
The current and quick ratio evaluation for AAPL is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.86 |
3. Growth
3.1 Past
AAPL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.67%, which is quite good.
Measured over the past years, AAPL shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.04% on average per year.
The Revenue has been growing slightly by 6.43% in the past year.
The Revenue has been growing by 8.68% on average over the past years. This is quite good.
EPS 1Y (TTM)10.67%
EPS 3Y6.93%
EPS 5Y18.04%
EPS Q2Q%12.8%
Revenue 1Y (TTM)6.43%
Revenue growth 3Y1.81%
Revenue growth 5Y8.68%
Sales Q2Q%7.94%
3.2 Future
AAPL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.46% yearly.
The Revenue is expected to grow by 6.82% on average over the next years.
EPS Next Y11.89%
EPS Next 2Y10.96%
EPS Next 3Y10.93%
EPS Next 5Y13.46%
Revenue Next Year8.07%
Revenue Next 2Y7.22%
Revenue Next 3Y7.05%
Revenue Next 5Y6.82%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 36.34, which means the current valuation is very expensive for AAPL.
The rest of the industry has a similar Price/Earnings ratio as AAPL.
AAPL's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 25.45.
AAPL is valuated quite expensively with a Price/Forward Earnings ratio of 32.48.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AAPL is on the same level as its industry peers.
AAPL is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 34.46, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.34 | ||
| Fwd PE | 32.48 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AAPL is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of AAPL is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 40.79 | ||
| EV/EBITDA | 27.42 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates AAPL does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of AAPL may justify a higher PE ratio.
PEG (NY)3.06
PEG (5Y)2.01
EPS Next 2Y10.96%
EPS Next 3Y10.93%
5. Dividend
5.1 Amount
With a yearly dividend of 0.38%, AAPL is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.95, AAPL pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.38, AAPL pays less dividend than the S&P500 average, which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.38% |
5.2 History
The dividend of AAPL has a limited annual growth rate of 4.95%.
AAPL has been paying a dividend for at least 10 years, so it has a reliable track record.
AAPL has decreased its dividend recently.
Dividend Growth(5Y)4.95%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
AAPL pays out 13.77% of its income as dividend. This is a sustainable payout ratio.
AAPL's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP13.77%
EPS Next 2Y10.96%
EPS Next 3Y10.93%
271.49
+5.24 (+1.97%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryTechnology Hardware, Storage & Peripherals
Earnings (Last)
Earnings (Next)
Inst Owners63.51%
Inst Owner Change-1.94%
Ins Owners0.06%
Ins Owner Change-0.78%
Market Cap4.03T
Revenue(TTM)416.16B
Net Income(TTM)112.01B
Analysts77.89
Price Target261.45 (-3.7%)
Short Float %0.79%
Short Ratio2.2
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.38% |
Yearly Dividend1.03
Dividend Growth(5Y)4.95%
DP13.77%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.84%
Min EPS beat(2)2.35%
Max EPS beat(2)7.34%
EPS beat(4)3
Avg EPS beat(4)2.32%
Min EPS beat(4)-0.58%
Max EPS beat(4)7.34%
EPS beat(8)6
Avg EPS beat(8)1.68%
EPS beat(12)9
Avg EPS beat(12)1.57%
EPS beat(16)12
Avg EPS beat(16)2.06%
Revenue beat(2)1
Avg Revenue beat(2)0.6%
Min Revenue beat(2)-1.76%
Max Revenue beat(2)2.97%
Revenue beat(4)1
Avg Revenue beat(4)-0.47%
Min Revenue beat(4)-1.82%
Max Revenue beat(4)2.97%
Revenue beat(8)1
Avg Revenue beat(8)-0.71%
Revenue beat(12)1
Avg Revenue beat(12)-1.2%
Revenue beat(16)3
Avg Revenue beat(16)-0.81%
PT rev (1m)4.56%
PT rev (3m)9.31%
EPS NQ rev (1m)6.78%
EPS NQ rev (3m)7.08%
EPS NY rev (1m)2.39%
EPS NY rev (3m)5.38%
Revenue NQ rev (1m)5.2%
Revenue NQ rev (3m)5.81%
Revenue NY rev (1m)2.42%
Revenue NY rev (3m)4.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.34 | ||
| Fwd PE | 32.48 | ||
| P/S | 9.68 | ||
| P/FCF | 40.79 | ||
| P/OCF | 36.14 | ||
| P/B | 54.64 | ||
| P/tB | 54.64 | ||
| EV/EBITDA | 27.42 |
EPS(TTM)7.47
EY2.75%
EPS(NY)8.36
Fwd EY3.08%
FCF(TTM)6.66
FCFY2.45%
OCF(TTM)7.51
OCFY2.77%
SpS28.04
BVpS4.97
TBVpS4.97
PEG (NY)3.06
PEG (5Y)2.01
Graham Number28.9
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 31.18% | ||
| ROE | 151.91% | ||
| ROCE | 68.72% | ||
| ROIC | 55.64% | ||
| ROICexc | 76.36% | ||
| ROICexgc | 76.36% | ||
| OM | 31.97% | ||
| PM (TTM) | 26.92% | ||
| GM | 46.91% | ||
| FCFM | 23.73% |
ROA(3y)28.12%
ROA(5y)27.93%
ROE(3y)157.53%
ROE(5y)163.92%
ROIC(3y)51.04%
ROIC(5y)48.21%
ROICexc(3y)72.58%
ROICexc(5y)66.97%
ROICexgc(3y)72.58%
ROICexgc(5y)66.97%
ROCE(3y)63.07%
ROCE(5y)59.52%
ROICexgc growth 3Y6.76%
ROICexgc growth 5Y12.61%
ROICexc growth 3Y6.76%
ROICexc growth 5Y12.61%
OM growth 3Y1.82%
OM growth 5Y5.77%
PM growth 3Y2.07%
PM growth 5Y5.18%
GM growth 3Y2.69%
GM growth 5Y4.17%
F-Score8
Asset Turnover1.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 1 | ||
| Debt/EBITDA | 0.6 | ||
| Cap/Depr | 108.69% | ||
| Cap/Sales | 3.06% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 77.02% | ||
| Profit Quality | 88.18% | ||
| Current Ratio | 0.89 | ||
| Quick Ratio | 0.86 | ||
| Altman-Z | 10.57 |
F-Score8
WACC8.59%
ROIC/WACC6.48
Cap/Depr(3y)95.46%
Cap/Depr(5y)96.21%
Cap/Sales(3y)2.78%
Cap/Sales(5y)2.82%
Profit Quality(3y)102.31%
Profit Quality(5y)103.35%
High Growth Momentum
Growth
EPS 1Y (TTM)10.67%
EPS 3Y6.93%
EPS 5Y18.04%
EPS Q2Q%12.8%
EPS Next Y11.89%
EPS Next 2Y10.96%
EPS Next 3Y10.93%
EPS Next 5Y13.46%
Revenue 1Y (TTM)6.43%
Revenue growth 3Y1.81%
Revenue growth 5Y8.68%
Sales Q2Q%7.94%
Revenue Next Year8.07%
Revenue Next 2Y7.22%
Revenue Next 3Y7.05%
Revenue Next 5Y6.82%
EBIT growth 1Y7.98%
EBIT growth 3Y3.66%
EBIT growth 5Y14.95%
EBIT Next Year15.46%
EBIT Next 3Y11.4%
EBIT Next 5Y10.63%
FCF growth 1Y-9.23%
FCF growth 3Y-3.95%
FCF growth 5Y6.13%
OCF growth 1Y-5.73%
OCF growth 3Y-3%
OCF growth 5Y6.68%
APPLE INC / AAPL FAQ
What is the ChartMill fundamental rating of APPLE INC (AAPL) stock?
ChartMill assigns a fundamental rating of 7 / 10 to AAPL.
What is the valuation status of APPLE INC (AAPL) stock?
ChartMill assigns a valuation rating of 2 / 10 to APPLE INC (AAPL). This can be considered as Overvalued.
Can you provide the profitability details for APPLE INC?
APPLE INC (AAPL) has a profitability rating of 10 / 10.
What is the valuation of APPLE INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for APPLE INC (AAPL) is 36.34 and the Price/Book (PB) ratio is 54.64.
Can you provide the financial health for AAPL stock?
The financial health rating of APPLE INC (AAPL) is 7 / 10.