Apple Inc. (AAPL) Isn’t Just About the iPhone – Investors Must Not Forget


Do you remember back to the year 2007 just prior to the release of the Apple Inc. (NASDAQ:AAPL) iPod touch and first generation iPhone? People were still down on Apple, a company that had seen it’s stock just begin to jump up in price. Since that time, the stock has taken off, thanks in part to the iPhone and iPod touch. Over the years though Apple has introduced new products such as the iPad, iPad Mini, sexy new Macs and up-and-coming smart-devices such as the Apple Watch and Apple TV.

When the iPod touch and the iPhone were released the stock still remained a bit stagnant for while, as the market was unsure if these products would sell as well as Apple Inc. (NASDAQ:AAPL) had hoped. After some time, some revisions and some updates, the iPhone has grown into being what some would argue is the best smartphone in the world. Now, as iPhone sales are not increasing as much as some investors would like, we see shares of Apple stock falling to lows unseen for some time now. However, this also comes as Apple is making a name for themselves with the Apple Watch and Apple TV, both of which are only in their infancy in relation to the potential that they provide.

Investors aren’t looking at the potential that Apple TV could have for people’s living rooms, and just about every other room their homes. Apple undoubtedly has a masterplan for their Television hardware and services, a masterplan that if successfull could be equally as beneficial to shareholders as the iPhone once was. This isn’t to mention other Apple products which we either have heard rumors of or which have not even been mentioned as of yet. The company has more cash on hand than they know what to do with, and this means they have the ability to hire the smartest, most talented engineers on the planet to help them move forward with their next projects — projects which may just surpass the iPhone and iPod touch one day soon.

The stock is down 0.01% or $0.01 following the news, hitting $93.41 per share. Approximately 29.61 million shares traded hands. AAPL shares have declined 26.46% since June 23, 2015 and are currently downtrending. It has underperformed the S&P500 by 15.44%.

From a total of 32 analysts covering Apple Inc. (NASDAQ:AAPL) stock, 28 rate it a “Buy”, 0 a “Sell”, and 4 a “Hold”. This means that 88% of the ratings are positive. The highest target price is $200 while the lowest target price is $102. The mean of all analyst targets is $142.97 which is 53.06% above today’s ($93.41) stock price. Apple Inc. was the topic of 105 analyst reports since July 21, 2015 according to the firm StockzIntelligence Inc. Deutsche Bank maintained shares on January 11 with a “Hold” rating. Stifel Nicolaus maintained shares with a”Buy” rating and a $140 target share price in their report from a December 23. Mizuho upgraded AAPL stock in a recent report from January 11 to a “Buy” rating. Barclays Capital maintained the rating on December 14. Barclays Capital has a “Overweight” rating and a $150 price target on shares. Finally, Canaccord Genuity maintained the stock with a “Buy” rating in a report they issued on a January 8.

The institutional sentiment increased to 1.18 in Q2 2015. It’s up 0.22, from 0.96 in 2015Q2. The ratio increased, as 103 funds sold all their Apple Inc. shares they owned while 854 reduced their positions. 102 funds bought stakes while 1032 increased their total positions. Institutions now own 3.20 billion shares which is 1.58% less than the previous share count of 3.25 billion in 2015Q2.

Compton Capital Management Inc Ri holds 45.15% of its total portfolio in Apple Inc., equating to 113,694 shares. Raiff Partners Inc owns 100,000 shares representing 32.27% of their total US portfolio. Moreover, Rfg Advisory Group Llc has 25.06% of their total portfolio invested in the company, equating to 70,558 shares. The New York-based Independent Investors Inc has a total of 23.66% of their portfolio invested in the stock. Dock Street Asset Management Inc, a Connecticut-based fund reported 269,584 shares owned.

Since March 6, 2015, the stock had 0 insider purchases, and 5 insider sales for a total of $8.58 million in net activity. Maestri Luca sold 2,908 shares worth $325,347. Williams Jeffrey E sold 46,873 shares worth $5.18 million. Riccio Daniel J. sold 24,085 shares worth $3.01M. Ahrendts Angela J sold 44,789 shares worth $5.90 million. The insider Levinson Arthur D sold 70,000 shares worth $9.20 million.

Apple Inc. designs, manufactures and markets mobile communication and media devices, personal computers, and portable digital music players, and a variety of related software, services, peripherals, networking solutions, and third-party digital content and applications. The company has a market cap of $516.14 billion. The Company’s services and products include iPhone, iPad, Mac, iPod, Apple TV, a portfolio of consumer and professional software applications, the iOS and OS X operating systems, iCloud, and a variety of accessory, service and support offerings. It has 9.92 P/E ratio. The Firm also delivers digital content and applications through the iTunes Store, App StoreSM, iBookstoreSM, and Mac App Store.