AAPL stock is trading below a double-bottom pattern entry. The ideal buy point here is 176.75, according to MarketSmith analysis. It has also formed a new handle, which offers a higher 179.71 buy point. That may be the more relevant entry now.
Apple stock recently reclaimed its 50-day line after rebounding from its 200-day moving average. The relative strength line has just hit a new high. A protracted upwards spike could propel AAPL higher once again.
A key point in the favor of Apple stock is the fact it performed better than most stocks, especially techs, during the market pullback.
Apple has seen its Composite Rating shoot up to a strong 95 out of 99. Apple became the first company to reach a market capitalization of $3 trillion earlier this year, though it has now backed off this level.
Apple has seen its Composite Rating shoot up to a strong 95 out of 99. Apple became the first company to reach a market capitalization of $3 trillion on Thursday, according to data from S&P Global Market Intelligence.
The iPhone maker’s market cap now stands at about $3.02 trillion, putting it well ahead of second-place Microsoft, which has a market cap of about $1.6 trillion. Amazon is in third place with a market cap of about $1.5 trillion.
Apple’s impressive run has been driven by strong demand for its products and services, as well as by its aggressive share repurchase program. The company has also benefited from the recent tax reform law, which has helped boost.
Apple: Analysts differ on the company’s results in the 3rd fiscal quarter
Investing.com – Apple (NASDAQ:AAPL) (BVMF:AAPL34) will release its fiscal Q3 balance sheet on July 28, and Wall Street expects its earnings per share EPS to be $1.16 over a revenue of US$ 82.57 billion.
KeyBanc analyst Brandon Nispel sees a “difficult environment” for Apple, although some challenges facing the tech giant are already priced in, he said in a note.
“We believe that the scenario for the quarter is quite difficult due to:
1) supply chain restrictions of $4.0-8.0B;
2) negative impact of 150 bp y/y from Russia/Ukraine;
3) sanitary locks in China, in conjunction with
4) worsening in the exchange rate, indicating a decline of 300 bp y/y (USD strengthening against the euro and yen as the main concern); and
5) US consumer sentiment concerns,” Nispel wrote.
KeyBanc’s credit and debit card data shows spending dropped 4% a month in June. More importantly, KFLD reveals that the expense ratio dropped 18% quarterly, weaker than the previous three-year average of +12%, for the second quarter of this year.
“Historically, Apple’s Q3 hardware unit has seen a 6.0% quarterly decline over the past 3 years, compared to the current Q3 consensus estimate of Q22 of a 19% quarterly low. In other words, the consensus expects a quarter of weak growth, although we see certain factors that were not anticipated and that could cause the results to come below the consensus”, added Nispel.
With that, the analyst cut Apple’s price target from $191 to $173 per share, in view of the “weakness we’re seeing in our data and macro indicators.”
On the other hand, BofA (NYSE:BAC) analyst Wamsi Mohan reiterated his buy recommendation and set a target price of $200 per share in Apple, considering that demand remains healthy.
“The successive reduction in iPhone replacement prices, lower than those charged by the competition, indicates that demand for the device remains healthy. We maintain the buy recommendation in view of the various tailwinds in both hardware and services (user growth, ASP and higher installed base penetration),” Mohan wrote in a note.