Skip to Content
Morningstar

Apple Inc AAPL

Morningstar Rating
Unlock
Stock XNAS Rating as of
$170.33 −3.17 (1.83%)
View Full Chart
As of Delayed Price Pre-Open: $170.06 −0.27
Unlock our analysis with Morningstar Investor
Start Free Trial

Company Report

View Archive

Apple’s Unique Walled Garden of Hardware, Software, and Services Carves a Wide Moat

William Kerwin

We believe Apple has cemented a long-term position atop the consumer electronics industry with a focus on a premium ecosystem of tightly integrated hardware, software, and services. We see the flagship iPhone as the linchpin of this ecosystem, from which Apple derives pricing power, switching costs, and a network effect. In our view, every other Apple device and service sees its greatest value from further locking in customers to this walled garden. This approach earns the firm a wide economic moat rating.

Read Full Report

Price vs Fair Value

View History
AAPL is trading at a 8% premium.
Price
$173.50
Fair Value
$473.00
Uncertainty
Medium
1-Star Price
$735.00
5-Star Price
$877.00
Economic Moat
Mdzsz
Capital Allocation
Czbxfwdd

Bulls Say, Bears Say

Bulls

Apple offers an expansive ecosystem of tightly integrated hardware, software, and services, which locks in customers and generates strong profitability.

Bears

Apple is prone to consumer spending and preferences, which creates cyclicality and opens the firm up to disruption.

Show More
Is it the right time to buy, sell, or hold?
Start a free trial of Morningstar Investor to unlock exclusive ratings and continuous analyst coverage to help you decide if AAPL is a good fit for your portfolio.
Get 7 Days Free

News

View All

Trading Information

Previous Close Price
$173.50
Day Range
$170.00–174.99
52-Week Range
$164.08–199.62
Bid/Ask
$169.91 / $170.16
Market Cap
$2.63 Tril
Volume/Avg
98,457 / 61.3 Mil

Key Statistics

Price/Earnings (Normalized)
26.53
Price/Sales
6.94
Dividend Yield (Trailing)
0.56%
Dividend Yield (Forward)
0.56%
Total Yield
3.54%

Company Profile

Apple is among the largest companies in the world, with a broad portfolio of hardware and software products targeted at consumers and businesses. Apple’s iPhone makes up a majority of the firm sales, and Apple’s other products like Mac, iPad, and Watch are designed around the iPhone as the focal point of an expansive software ecosystem. Apple has progressively worked to add new applications, like streaming video, subscription bundles, and augmented reality. The firm designs its own software and semiconductors while working with subcontractors like Foxconn and TSMC to build its products and chips. Slightly less than half of Apple’s sales come directly through its flagship stores, with a majority of sales coming indirectly through partnerships and distribution.
Sector
Technology
Industry
Consumer Electronics
Stock Style Box
Large Core
Total Number of Employees
161,000
Website
https://www.apple.com

Competitors

Valuation

View More
Metric
AAPL
GOOGL
MSFT
Price/Earnings (Normalized)
 26.5324.8733.71
Price/Book Value
 35.546.8811.43
Price/Sales
 6.946.4712.29
Price/Cash Flow
 22.2417.9326.13
Price/Earnings
AAPL
GOOGL
MSFT

Financial Strength

Metric
AAPL
GOOGL
MSFT
Quick Ratio
 0.921.981.02
Current Ratio
 1.072.151.22
Interest Coverage
 —285.7841.49
Quick Ratio
AAPL
GOOGL
MSFT

Profitability

Metric
AAPL
GOOGL
MSFT
Return on Assets (Normalized)
 32.04%25.77%19.65%
Return on Equity (Normalized)
 174.73%36.64%38.71%
Return on Invested Capital (Normalized)
 63.75%32.10%28.79%
Return on Assets
AAPL
GOOGL
MSFT
See how this stock stacks up to its competitors with Morningstar Investor
Start Free Trial

Consumer Electronics Industry Comparables

Screen in Investor
Ticker
Name
Morningstar Rating for Stocks
Capital Allocation
Economic Moat
Market Cap
SNEJF
Sony Group Corp—Tnkg$102.2 Bil
SONY
Sony Group Corp ADRKftffllmpNkj$102.2 Bil
XIACF
Xiaomi Corp Class B—Gtp$55.2 Bil
XIACY
Xiaomi Corp ADR—Zzns$55.2 Bil
PCRHY
Panasonic Holdings Corp ADR - Unsponsored—Trzq$20.6 Bil
PCRFF
Panasonic Holdings Corp—Vddf$20.6 Bil
LPL
LG Display Co Ltd ADR—Tcjw$3.8 Bil
SHCAF
Sharp Corp—Dyqm$3.5 Bil
SHCAY
Sharp Corp ADR—Pjnp$3.5 Bil

Sponsor Center