
NASDAQ:AAPL
This summary was created by AI, based on 91 opinions in the last 12 months.
Apple Inc. (AAPL) is currently experiencing mixed sentiments among experts regarding its long-term prospects, particularly in relation to artificial intelligence (AI) and its traditional hardware business. While some experts appreciate Apple's strong product margins and robust service segment, there is notable concern over its lag in AI development compared to competitors. The company’s strategy of allowing other tech firms to invest heavily in AI, only to step in later, is a point of discussion. Many analysts believe Apple's profitability will remain strong due to its vast user ecosystem and cash reserves, though its valuation is a point of contention, with some suggesting that it’s fully priced amid slow growth. A considerable number of reviews highlight upcoming product launches and their potential to boost shares, although the skepticism surrounding AI adoption continues to loom.
Can Apple be more misunderstood? Yesterday, they introduced three new Macbooks, and that they'll be making their own processors to extend battery life to 18 hours. He loves their new companies, is amazed by this new battery. They make quality computers, and PCs are a hot product now. Also, the new iPhone 12 offers a marvelous phone and it's compatible with the forthcoming 5G network. Yes, Apple's PE has risen, but the company is not only a product/gadget company, but it offers a serious service stream or a consumer packaged goods company with recurring revenue. At 30x earnings, Apple is only a little more expensive than Colgate or P&G. Compare it to Costco for its recurring revenue stream (Costco trades at 38x earnings). Apple is up 82% YTD, yet has more room to run. The new president won't be hostile towards China, which benefits Apple.
It's a must-own stock. Services is a huge part of the business and there are 8 different product refreshes coming. It is trading at 32x 2022. Risk to reward, he does not like it. Price to growth is more reasonable for other tech names like Amazon. Buy around $110.