What is Apple Beta? (NASDAQ:AAPL) – Macroaxis

AAPL

 Stock  

USD 

173.57

  

7.78

  

4.69%

  

Apple Inc fundamentals help investors to digest information that contributes to Apple’s financial success or failures. It also enables traders to predict the movement of Apple Stock. The fundamental analysis module provides a way to measure Apple’s intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Apple stock.

Apple

 

Beta

Net Income Per Employee

Revenue Per Employee

Calculated Tax Rate

PPandE Turnover

Receivables Turnover

Inventory Turnover

Accounts Payable Turnover

Accrued Expenses Turnover

Operating Margin

Cash and Equivalents Turnover

Return on Investment

Cash Flow Per Share

Revenue to Assets

Total Assets Per Share

Quick Ratio

Net Current Assets as percentage of Total Assets

Inventories

Receivables

Accounts Payable

Direct Expenses

Probability Of Bankruptcy

 

ReceivablesInventories

This module does not cover all equities due to inconsistencies in global equity categorizations. Continue to Equity Screeners to view more equity screening tools.

Apple Beta Analysis

 2011 2016 2022 2023 (projected)Revenue Per Employee1.86 M2.41 M1.83 M1.79 MNet Income Per Employee394.94 K610.23 K386.74 K392.22 K

Revenue Per EmployeeNet Income Per Employee

Beta 

 = 

Covariance 

Variance 

More About Beta | All Equity Analysis

Current Apple Beta

    

  1.3  

Most of Apple’s fundamental indicators, such as Beta, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Apple Inc is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.

Apple’s Beta is one of the most important measures of equity market volatility. Beta can be thought of as asset elasticity or sensitivity to market. In other words, it is a number that shows the relationship of an equity instrument to the financial market in which this instrument is traded. For example, if Beta of equity is 2, it will be expected to significantly outperform market when the market is going up and significantly underperform when the market is going down. Similarly, Beta of 1 indicates that an asset and market will generate similar returns over time.

Apple Beta Driver Correlations

Understanding the fundamental principles of building solid financial models for Apple is extremely important. It helps to project a fair market value of Apple Stock properly, considering its historical fundamentals such as Beta. Since Apple’s main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Apple’s historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Apple’s interrelated accounts and indicators.

In a nutshell, Beta is a measure of individual stock risk relative to the overall volatility of the stock market. and is calculated based on very sound finance theory – Capital Assets Pricing Model (CAPM).However, since Beta is calculated based on historical price movements it may not predict how a firm’s stock is going to perform in the future.

In accordance with the recently published financial statements, Apple Inc has a Beta of 1.2969. This is 22.35% higher than that of the Technology Hardware, Storage & Peripherals sector and 54.39% higher than that of the Information Technology industry. The beta for all United States stocks is notably lower than that of the firm.

Apple Beta Peer Comparison

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Apple’s direct or indirect competition against its Beta to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Apple could also be used in its relative valuation, which is a method of valuing Apple by comparing valuation metrics of similar companies.

Apple is currently under evaluation in beta category among related companies.

Apple is currently under evaluation in beta category among related companies.

Apple ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Apple’s sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Apple’s managers, analysts, and investors.

Environment Score

Environment Score

Governance Score

Governance Score

Social Score

Social Score

Apple Institutional Holders

Institutional Holdings refers to the ownership stake in Apple that is held by large financial organizations, pension funds or endowments. Institutions may purchase large blocks of Apple’s outstanding shares and can exert considerable influence upon its management. Institutional holders may also work to push the share price higher once they own the stock. Extensive social media coverage, TV shows, articles in high-profile magazines, and presentations at investor conferences help move the stock higher, increasing Apple’s value.

Last TransactionTypeSharesValueVanguard Group Inc2022-12-31Common Shares1.3 

B

166.1 

B

Ubs Asset Management Americas Inc2022-12-31Common Shares69 

M

9 

B

Wells Fargo Company2022-12-31Common Shares63.3 

M

8.2 

B

Wellington Management Group Llp2022-12-31Common Shares60.7 

M

7.9 

B

Ubs Group Ag2022-12-31Common Shares43.9 

M

5.7 

B

Voya Investment Management Llc2022-12-31Common Shares22.7 

M

2.9 

B

Td Asset Management Inc2022-12-31Common Shares20.4 

M

2.7 

B

Victory Capital Management Inc2023-03-31Common Shares12 

M

2 

B

T Rowe Price Investment Management Inc2022-12-31Common Shares13.4 

M

1.7 

B

Us Bancorp2022-12-31Common Shares12.6 

M

1.6 

B

Toronto Dominion Bank2022-12-31Common Shares12.6 

M

1.6 

B

Let’s try to break down what Apple’s beta means in this case. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Apple will likely underperform.

Apple Fundamentals

About Apple Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze Apple Inc’s financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Apple using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Apple Inc based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company’s growth but cannot be measured and presented in a numerical way.

Apple Inc. designs, manufactures, and markets smartphones, personal computers, tablets, wearables, and accessories worldwide. Apple Inc. was incorporated in 1977 and is headquartered in Cupertino, California. Apple operates under Consumer Electronics classification in the United States and is traded on NASDAQ Exchange. It employs 164000 people.

Pair Trading with Apple

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Apple position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Apple will appreciate offsetting losses from the drop in the long position’s value.

Complementary Tools for Apple Stock analysis

When running Apple’s price analysis, check to measure Apple’s market volatility , profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Apple is operating at the current time. Most of Apple’s value examination focuses on studying past and present price action to predict the probability of Apple’s future price movements . You can analyze the entity against its peers and the financial market as a whole to determine factors that move Apple’s price. Additionally, you may evaluate how the addition of Apple to your portfolios can decrease your overall portfolio volatility.

Is Apple’s industry expected to grow? Or is there an opportunity to expand the business’ product line in the future? Factors like these will boost the valuation of Apple . If investors know Apple will grow in the future, the company’s valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Apple listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.

Quarterly Earnings Growth

(0.10) 

Dividend Share

0.91

Earnings Share

5.84

Revenue Per Share

24.084

Quarterly Revenue Growth

(0.06) 

The market value of Apple Inc is measured differently than its book value, which is the value of Apple that is recorded on the company’s balance sheet. Investors also form their own opinion of Apple’s value that differs from its market value or its book value, called intrinsic value, which is Apple’s true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Apple’s market value can be influenced by many factors that don’t directly affect Apple’s underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.

Please note, there is a significant difference between Apple’s value and its price as these two are different measures arrived at by different means. Investors typically determine if Apple is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Apple’s price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party. Check out Apple Piotroski F Score and Apple Altman Z Score analysis.

 

Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Apple’s direct or indirect competition against its Beta to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Apple could also be used in its relative valuation, which is a method of valuing Apple by comparing valuation metrics of similar companies.Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Apple’s sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Apple’s managers, analysts, and investors.Institutional Holdings refers to the ownership stake in Apple that is held by large financial organizations, pension funds or endowments. Institutions may purchase large blocks of Apple’s outstanding shares and can exert considerable influence upon its management. Institutional holders may also work to push the share price higher once they own the stock. Extensive social media coverage, TV shows, articles in high-profile magazines, and presentations at investor conferences help move the stock higher, increasing Apple’s value.Please read more on our fundamental analysis page.Apple Inc. designs, manufactures, and markets smartphones, personal computers, tablets, wearables, and accessories worldwide. Apple Inc. was incorporated in 1977 and is headquartered in Cupertino, California. Apple operates under Consumer Electronics classification in the United States and is traded on NASDAQ Exchange. It employs 164000 people.One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Apple position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Apple will appreciate offsetting losses from the drop in the long position’s value.