Apple (NASDAQ:AAPL) Stock Price Up 1.2% – Still a Buy?

Apple Inc. (NASDAQ:AAPL) shares rose 1.2% during mid-day trading on Thursday. The company traded as high as $348.36 and last traded at $348.22. Approximately 43,578,066 shares traded hands during mid-day trading, a decline of 10% from the average session volume of 48,402,094 shares. The stock had previously closed at $343.99.

Key Stories Impacting Apple

Here are the key news stories impacting Apple this week:

• Positive Sentiment: Preorders for the $1,999 iPhone Duo reportedly sold out quickly, with delivery estimates extending into 2027. Apple has allegedly raised its 12-month shipment target 44%, to 14 million units from 9.7 million, suggesting stronger-than-expected demand for the new premium device. Apple bets iPhone Duo can remake foldable market as sales begin
• Positive Sentiment: Investors are treating Apple as an “AI haven” because it relies more on on-device AI and its existing ecosystem than on enormous data-center spending. That relatively disciplined capital approach is attracting investors concerned about the returns and valuations of major AI infrastructure projects. Apple’s Cash Flow Machine Makes It Investors’ Favorite AI Hedge
• Positive Sentiment: Apple’s latest quarterly results exceeded consensus expectations, with revenue rising 16.4% year over year and earnings per share topping estimates. Its strong free cash flow, services business and Berkshire Hathaway’s continued large holding provide additional support for the bullish case.
• Neutral Sentiment: The iPhone Duo’s retail launch begins Friday, but Apple says store inventory will be limited. Strong demand could support revenue, while constrained supply may delay sales recognition and frustrate customers. Early reviews praise the form factor but cite the high price and software trade-offs, including a reported app-optimization issue. Apple’s $1,999 iPhone Duo hits stores Friday amid limited supplies
• Negative Sentiment: Valuation remains the principal risk. Loop Capital downgraded Apple to Hold, arguing the shares are fully valued and warning about potentially slower iPhone shipments; another analysis estimated the stock could be roughly 25% overvalued. ETF net selling and recent insider sales add modest near-term pressure.

Analyst Upgrades and Downgrades

A number of research firms have weighed in on AAPL. The Goldman Sachs Group assumed coverage on Apple in a research note on Monday, August 17th. They issued a “buy” rating on the stock. China Renaissance lowered Apple from a “buy” rating to a “hold” rating and decreased their price objective for the company from $329.00 to $280.00 in a report on Tuesday, August 4th. Wells Fargo & Company reiterated an “overweight” rating and issued a $350.00 target price (up from $310.00) on shares of Apple in a research note on Friday, July 31st. Citigroup reissued a “buy” rating on shares of Apple in a report on Thursday, September 10th. Finally, HSBC reaffirmed a “buy” rating and issued a $366.00 price target on shares of Apple in a report on Tuesday, September 8th. One research analyst has rated the stock with a Strong Buy rating, twenty-five have assigned a Buy rating, fifteen have issued a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat, Apple has a consensus rating of “Moderate Buy” and a consensus price target of $340.12.

Apple Price Performance

The company has a quick ratio of 0.93, a current ratio of 1.00 and a debt-to-equity ratio of 0.66. The company has a 50-day moving average of $328.91 and a 200 day moving average of $309.07. The stock has a market capitalization of $5.08 trillion, a PE ratio of 39.93, a PEG ratio of 2.69 and a beta of 1.07.

Apple (NASDAQ:AAPL) last issued its earnings results on Thursday, July 30th. The iPhone maker reported $2.02 earnings per share for the quarter, topping the consensus estimate of $1.89 by $0.13. Apple had a return on equity of 135.46% and a net margin of 27.62%. The business had revenue of $109.42 billion for the quarter, compared to analysts’ expectations of $109.04 billion. During the same period in the previous year, the firm posted $1.57 EPS. The business’s revenue for the quarter was up 16.4% compared to the same quarter last year. Sell-side analysts predict that Apple Inc. will post 8.75 EPS for the current year.

Apple Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, August 13th. Stockholders of record on Monday, August 10th were issued a $0.27 dividend. This represents a $1.08 annualized dividend and a dividend yield of 0.3%. The ex-dividend date was Monday, August 10th. Apple’s dividend payout ratio is currently 12.39%.

Insider Transactions at Apple

In related news, insider Timothy D. Cook sold 191,753 shares of the business’s stock in a transaction on Friday, October 2nd. The shares were sold at an average price of $332.96, for a total transaction of $63,846,078.88. Following the completion of the transaction, the insider owned 3,264,168 shares in the company, valued at approximately $1,086,837,377.28. The trade was a 5.55% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO John Ternus sold 25,412 shares of the business’s stock in a transaction on Friday, October 2nd. The shares were sold at an average price of $332.94, for a total transaction of $8,460,671.28. Following the completion of the sale, the chief executive officer directly owned 59,567 shares of the company’s stock, valued at approximately $19,832,236.98. This trade represents a 29.90% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders have sold 286,853 shares of company stock valued at $95,477,342. Insiders own 0.06% of the company’s stock.

Institutional Investors Weigh In On Apple

Several hedge funds have recently made changes to their positions in the business. Berkshire Hathaway Inc purchased a new position in Apple in the 2nd quarter valued at $65,950,297,000. Bank of America Corp DE acquired a new stake in shares of Apple in the second quarter valued at approximately $36,986,090,000. Legal & General Group Plc acquired a new stake in Apple during the 2nd quarter valued at $30,443,242,000. Deutsche Bank AG purchased a new stake in Apple during the 2nd quarter worth about $13,658,359,000. Finally, Mitsubishi UFJ Asset Management Co. Ltd. acquired a new position in shares of Apple in the second quarter valued at approximately $10,588,946,000. Institutional investors and hedge funds own 67.73% of the company’s stock.

About Apple

Apple Inc designs, develops and sells consumer electronics, software and digital services. Its best-known products include the iPhone smartphone, Mac personal computers, iPad tablets, Apple Watch, AirPods and other accessories. The company also develops operating systems and applications that support its hardware ecosystem.

Apple’s services business includes the App Store, Apple Music, Apple TV, Apple Arcade, iCloud, Apple Pay and other subscription, payment and digital-content offerings.