US Nasdaq stock report - Apple
Apple accelerates rise, up 3.5% in 2 days August 17, 2018 16:00 EDT
NEWS BITES - NORTH AMERICA
Apple Inc. (NASDAQ:AAPL), the NASDAQ's largest Computer integrated systems company by market cap, has increased $US7.34 (3.5%) over the past two trading days, compared with the NASDAQ-100 Index which rose 22.9 points (0.3%) in the two days for a relative price increase of 3.2%. Cumulative volume in the 2 days was 1.1 times the average 2-day volume of 29.7 million shares. Apple's stock rose 1.5% on Thursday and 2% on Friday to close at $US217.58. Its MCap is $US1,069.4 billion.
Apple (NASDAQ:AAPL) institutional shareholder BSC Private Wealth Management, LLC (CIK:0001690531) bought 23,582 shares in the quarter ended June 30, 2018 worth $US4.4 million at an estimated Volume Weighted Average Price (VWAP) of USD179.72. At the end of the quarter BSC Private Wealth Management, LLC held 47,446 shares worth $US8.5 million. The net increase in holdings over the last one year and eight months was 12,734 shares (37% of the shares held one year and eight months ago).
Apple (NASDAQ:AAPL) institutional shareholder Nelson, Van Denburg & Campbell Wealth Management Group, LLC (CIK:0001599868) sold 5,050 shares in the quarter ended June 30, 2018 worth $US931,539 at an estimated Volume Weighted Average Price (VWAP) of USD179.72. At the end of the quarter Nelson, Van Denburg & Campbell Wealth Management Group, LLC held 29,681 shares worth $US5.3 million. The net increase in holdings over the last two years and nine months was 10,887 shares (58% of the shares held two years and nine months ago).
The shares climbed 4.8% in the 5 trading sessions since the ex-dividend date of August 10. The company paid a dividend of 73.0c per share. Based on dividends of $US2.72 per share for the trailing twelve months and the last price of $US217.58 the dividend yield is 1.2%.
Highlights in today's Report:
SECTION 1 BULLISH SIGNALS
SECTION 2 BEARISH SIGNALS incl. Open Interest
SECTION 3 PRICE VOLUME DYNAMICS
SECTION 4 RELATED NEWS
SECTION 5 REPORTED BUYING AND SELLING
SECTION 6 GLOBAL RANKING
SECTION 7 SUMMARY FINANCIALS
SECTION 8 PROFILE
SECTION 1 APPLE BULLISH SIGNALS
Uptrend: The stock continues its significant uptrend. The stock rose 2.0%, for a 5-day rise of 4.8%, on high volatility today and expanding price range.
+ The price climbed 4.8% in the last week and soared 14.0% in the last month.
+ The Moving Average Convergence Divergence (MACD) indicator of 12-day Exponential Moving Average (EMA) of 208.31 minus the 26-day EMA of 202.13 is positive 6.18 suggesting a bullish signal. Both EMA prices are rising, another bullish signal.
+ Rises to Falls: in the past month the number of rises outnumbered falls 17:7 or 2.4:1.
+ The stock's relative price strength percentile is rising at 80 for 6 months, 82 for 3 months and 91 for 1 month.
+ The stock has seen a rally of 27% in less than 6 months.
+ The present value of $US1,000 (PV1000) invested one year ago in Apple is $US1,420, comprising a capital gain of $US399 and dividend reinvested of $US21.
+ The present value of USD1,000 (PV1000) invested thirty years ago in Apple is $US179,534, including a capital gain of $US160,745 and dividend reinvested of $US17,788.
+ 30 years Multiplier in USD = 179.534x
+ Compound Annual Growth Rate (CAGR) in USD = 18.7%
High Performance Indicators and rank of Apple in the NASDAQ market:
|Description||AAPL Value||Rank In Market|
|Today's Trading Turnover||$US7.6 billion||In Top 1%|
|Price/MAP50||1.12||In Top 9%|
|Return on Assets [ROA] %||12.9||In Top Quartile|
|Return on Capital Employed [ROCE] %||23.3||In Top Quartile|
|Price Change %||2.0||In Top Quartile|
|% Prem to Vol Wtd Price||7.4||In Top Quartile|
|Price/MAP200||1.22||In Top Quartile|
+ The relative yield of AAPL, defined by its yield of 1.2%, divided by average yield of dividend yielding stocks in the NASDAQ-100 Index of 1.0% is 123.8%. This suggests Apple stock is undervalued in dividend yield terms.
+ Total Liabilities/EBITDA of 3.8 is comfortably below the Joseph Piotroski benchmark of 5.
+ As per the Du Pont analysis, Return on Equity [ROE] is high at 36.1%; an improvement from 35.6% last year. ROE is computed as net profit margin of 21.1% times asset turnover [sales/assets] of 0.62 times leverage factor [total assets/shareholders' equity] of 2.8.
YOY Improvement in ROE and Profit Margin
|Du Pont Analysis||ROE||Profit Margin||Asset Turnover||Equity Multiplier|
1.3 Undervaluation [compared with sector average]:
+ Price/Earnings of 19.6 [22.2]. We estimate Apple stock is trading at a current year P/E of 18.6 and a forward year P/E of 15.7.
+ Year-on-Year Earnings Growth of 10.8% [5.9%].
+ Price/Earnings/Growth of 1.8 [3.8].
SECTION 2 APPLE BEARISH SIGNALS
2.1 Open Interest:
+ Open Interest Trend
Same day trend: The price increased 2.0% from $US213.32 to $US217.58; Open interest has decreased 0.3% from 530,642 to 529,249. A price rise combined with a decline in open interest suggests the rally is caused by short sellers covering their positions. This indicates money is leaving the market, a bearish signal.
|Duration||Open Interest change %||Price change %||Interpretation|
|1-day||-0.3||2.0||Market is Weakening|
|1-week||-15.1||4.8||Market is Weakening|
+ Put Call Contracts
Put/Call ratio has jumped from 0.874 to 0.89 suggesting a downtrend.
|Put Contracts||Call Contracts||Put/Call ratio|
+ The 0.2% discount to 12-month high of $US217.95 against the 48.1% premium to 12-month low of $US146.94 suggests the climb might be peaking.
2.3 Overbought/Bearish/Resistance Signals:
+ The Relative Strength Index (RSI) of 92.3 has penetrated the overbought line of 70, suggesting the price gain of 14.7% in the last 14 days is unusually high.
+ The stock is overbought according to the Williams % R indicator of -1.3, suggesting the price is close to its 14-day high of $US217.95.
+ The Money Flow Index [MFI] is 84.1 suggesting an overbought 14-day trend, being above 80. The Money Ratio of 5.3 suggests positive money flow was 5.3 times negative money flow.
Low Performance Indicators and rank of Apple in the NASDAQ market:
|Description||AAPL Value||Rank In Market|
|P/E * P/NTA||166.4||In Bottom Quartile|
|Price to Sales||4.6||In Bottom Quartile|
|EPS Growth %||10.8||In Bottom Quartile|
+ Tobin's Q Ratio, defined as MCap divided by Total Assets, is 2.8. Compared with the rest of the market the stock is overvalued and ranks in the bottom quartile of stocks by value of Q Ratio.
Quarterly Trend in Revenue, Net Profit and Net Profit Margin:
+ Net Profit margin is positive but falling in recent quarters. [All figures in %]
|Qtr-ended||Revenue Growth||Net Profit Growth||Net Profit Margin|
|Jun 18 [Q3]||-||-||21.6|
|Mar 18 [Q2]||-||-31.1||22.6|
|Dec 17 [Q1]||67.9||87.3||22.7|
2.5 Overvaluation [compared with sector average]:
+ Return on Equity 36.1% [41.6%].
SECTION 3 APPLE PRICE VOLUME DYNAMICS
+ Volume: there were 34,997,900 shares worth $US7.6 billion traded today. In the past week, volume was 0.9 times average and the shares were up 4.8%. The rise has been propped up by firm volume of 1.2 times the average daily volume of 29.7 million shares.
3.2 Turnover Rate & Turnover Period:
+ The turnover rate in the 12 months to date was 120.5% (or a turnover period of 9 months). This average length of ownership of the stock at 1.4 times the average holding period of 6 months for stocks in the NASDAQ-100 Index suggests a larger number of core investors, making a long-term investment safer.
3.3 Moving Annual Return (Past 5 years)
Based on a dynamic start date of 5 years ago, the Moving Annual Return has been positive in 4 of the last 5 years. An investment a year ago in AAPL would have produced a return of 41.7%.
|AAPL||Close (USD)||Dividends (USD)||Capital Gain / (Loss) %||% Yield||Annual Return %|
|1 Yr ago||155.51||2.4||46.9||2.3||49.1|
|2 Yrs ago||105.88||2.18||(3.7)||2||(1.7)|
|3 Yrs ago||109.94||1.98||21.2||2.2||23.4|
|4 Yrs ago||90.71||1.81||38.7||2.8||41.5|
Close 5 years ago $US65.39
3.4 Beta & Alpha:
+ Beta: the Beta of Apple stock is 1.1. A Beta greater than 1 suggests this is a high risk, high return stock with volatility greater than that of the market.
+ Alpha: the Alpha of the stock is 5.6. The actual return of 32.12% exceeded the expected return of 26.6%, reflecting outperformance.
3.5 The Past Two Years
+ Apple Inc. (NASDAQ:AAPL), extended its gains in the past year, rising an additional $US62.07 (39.9%) to close at $US217.58 today. In the previous year the shares rose $US49.86 (47.2%). The shares have lifted $US111.93 (105.9%) over the past two years, compared with the NASDAQ-100 Index which rose 2,572.1 points (53.5%) in the two years for a relative price increase of 52.4%.
SECTION 4 APPLE RELATED NEWS
4.1 Corporate Bonds
+ Apple bond YTM decreases by 82.8 basis points
Apple Inc (AAPL4336437) bond has lifted $US2.08 (or 2.0%) from its last trading session of August 15, 2018 to close at $US104.58. The bond matures in 2 years and 6 months; its yield to maturity (YTM) has decreased by 82.8 basis points from 2.47% to 1.641%.
4.2 Stock Buzz: Past Week
|Aug 16||State Board Of Administration Of Florida Retirement System Has Decreased Apple INC (AAPL) Position by $42.49 Million as Valuation Rose||Bibey Post|
|Aug 16||Apple Inc. (NASDAQ:AAPL) price target set to $214.00 by Macquarie||CLNT|
|Aug 16||Apple accused of pressuring game rivals in Japan: Nikkei||Investing.com|
|Aug 16||Apple Won the Race, But Amazon Owns the Competition||InvestorPlace|
|Aug 16||Warren Buffett's Berkshire Hathaway loads up on Apple, Teva Pharmaceuticals, Goldman Sachs||Proactiveinvestors|
|Aug 16||Here's Why Apple's Margins Will Be Flat This Quarter||Yahoo Finance|
|Aug 16||Spectrum Management Group Raised Apple (AAPL) Position; Formula Systems (1985) LTD. Ads Represents 1 Ord (FORTY) Shorts Increased By 40%||flecha123.com|
|Aug 16||Berkshire Lifts Stake In Apple -- WSJ||ih.advfn.com|
|Aug 16||As Apple INC (AAPL) Stock Rose, State Board Of Administration Of Florida Retirement System Has Decreased Stake||reurope.com|
|Aug 16||Apple INC (AAPL) Share Value Rose While State Board Of Administration Of Florida Retirement System Trimmed Its Position||southernconservativedaily.com|
|Aug 16||Apple Inc. (AAPL) Stake Raised by Palisade Capital Management LLC NJ||theenterpriseleader.com|
|Aug 16||Profund Advisors Boosted Apple (AAPL) Stake; Plug Power Has 1.07 Sentiment||tokoyuri.com|
|Aug 15||Apple: Here s What Three Experts Say About Risk||TalkMarkets|
|Aug 15||Spotify and Samsung Are Teaming Up to Take on Apple||Yahoo New Zealand|
|Aug 15||Apple accused of pressuring game rivals in Japan - Nikkei||uk.investing.com|
|Aug 14||More Big Apple News and Projects as It Now Has a Massive $1 Trillion Market Cap||24/7 Wall St.|
|Aug 14||Bloomberg: Verizon nears 5G launch deals with Apple, Google||Seeking Alpha|
|Aug 14||Berkshire boosts Goldman, Teva stakes; buys more Apple||StreetInsider|
|Aug 13||This Is the Biggest Winner From Apple's Q3 2018 Report (Besides Apple)||Yahoo Finance India|
|Aug 13||KCM Investment Advisors LLC Buys 433 Shares of Apple Inc. (AAPL)||themarketsdaily.com|
To view the past 45 days' Stock BUZZ on Apple(AAPL), click here
4.3 Analyst Recommendation: Past Week
|Date||Brokerage||Action||Current Rating||Price Target|
|Aug 15, 2018||Macquarie||Set Price Target||210.24||214|
4.4 Other News
+ BSS/News Bites:
Apple Inc. is placed 585/2176 in BSS News Bites' ranking of NASDAQ performers in the past year, a percentile ranking of 73.
+ Vanguard Total World Stock ETF 2588:
The stock was one of 2588 global stocks selected by Vanguard Total World Stock ETF (VT) who sold 1,608,620 shares in the period May 31, 2018 to Jun 30, 2018 worth $US-302,824,210 at an estimated Volume Weighted Average Price (VWAP) of $US188.2509. As at Jun 30, 2018, the Vanguard Total World Stock ETF held 2 shares worth $US329 or 1,572,863% by value of the ETF's portfolio [Ranked 7 out of 2588 by value and 5 out of 345 for NASDAQ].
SECTION 5 APPLE REPORTED BUYING AND SELLING
5.1 Institutional Buying and Selling Quarter Ended June 30
Total reported Institutional buying = 68,915,890 shares
Total reported Institutional selling = 133,809,846 shares
Net reported institutional selling = 64,893,956 shares
5.2 Reported Holdings of Institutions as at Jun 30, 2018
Total = 2,862,298,734 shares
Market Value = $US528 billion
SECTION 6 APPLE GLOBAL RANKING
Global Rank [out of 47,645 stocks] and Rank of Apple in the American Region [out of 11,858 stocks]
|Description||Value||Global Rank||In Am Region|
|Total Assets (US$)||375.3B||196||97|
|Net Profit (US$)||48.4B||5||2|
|Return on Equity %||36.1||1,247||433|
|Net Profit Margin %||21.1||5,594||1,512|
|Price to Book||8.3||32,690||5,489|
|PV1000 (1Year) USD||1,420||5,823||1,906|
|US$ Change (1Year) %||34.5||5,762||1,872|
SECTION 7 APPLE SUMMARY FINANCIALS
7.1 Dividend History
+ Trailing 12 months dividend has improved from $US1.81 in 2014 to $US2.72 in 2018.
7.2 Financials Summary (Past 3 years)
|Year ended||Sep 2017||Sep 2016||Sep 2015|
|Sales (USD B)||232||217||233.7|
|Pretax (USD B)||64.1||61.4||72.5|
|Net (USD B)||48.4||45.7||53.4|
+ Net profit was up 5.8% from US$45.7 billion in 2016 to US$48.4 billion in 2017.
+ Earnings Per Share (EPS) was up 10.8% from $US8.31 to $US9.21.
SECTION 8 APPLE PROFILE
Apple Inc. designs, manufactures, and markets personal computers, portable digital music players, and mobile communication devices and sells a variety of related software, services, peripherals, and networking solutions. The Company sells its products worldwide through its online stores, its retail stores, its direct sales force, and third-party wholesalers, resellers, and value-added resellers.
8.2 Top Management
The chairman is Arthur D. Levinson, the chief executive officer is Timothy D. Cook and the chief financial officer is Luca Maestri.
8.3 Issued Capital
Based on 4,915,138,000 issued shares the market capitalisation is $US1,069.4 billion.
Contact: +1 408 996-1010
Physical Address: 1 Infinite Loop, Cupertino, CA,95014
State/Province/Country: CA, United States
Country of Incorporation: United States
Industry [NAICS]: 334220
Economic Sector: Technology
Business Sector: Technology Equipment
Industry Group: Computers, Phones & Household Electronics
Industry: Computer Hardware
Activity: Computer Hardware - NEC*
* NEC: Not elsewhere classified
Apple Inc, Apple, Inc