Sign InApple Inc. (AAPL) Shows Positive Growth and Anticipation for iPhone 15 Launch
Summary
Based on technical and fundamental analysis, along with positive news and upcoming events, Apple Inc. (AAPL) is expected to experience slight volatility but remain on a positive trajectory in the next trading day, and investors can anticipate a potential upward movement in the stock price in the upcoming week due to the launch of the new iPhone.
TECHNICAL ANALYSIS
On September 1, 2023, Apple Inc. (AAPL) closed at $189.46. The stock has indicated positive growth with a change of 1.59 (0.85%). The low and high price for this day were $188.28 and $189.9175 respectively. The stock's volume was reported at 42.23 million which is below the average volume of 56.30 million, indicating less trading activity.
Looking at the key technical indicators, the 14-day Relative Strength Index (RSI) stands at 66, indicating the stock is nearing an overbought condition. Typically, an RSI above 70 may indicate the stock is overbought and could be due for a price correction.
The 50 Day Moving Average was $186.66 and the 200 Day Moving Average was $163.20, indicating a bullish trend as the stock is trading above both averages. The MACD (3-month) was at -5.68, indicating potential bearish momentum in the short term.
The Average True Range (ATR) was 1.66, a volatility measure. The higher ATR indicates higher volatility and therefore, potentially greater price changes.
Support and resistance levels were indicated at $181.99 and $193.13 respectively. If the stock price breaks through these levels, it could suggest a change in the stock's trend.
FUNDAMENTAL ANALYSIS
Apple has a significant market capitalization of $2.96 trillion with 15.63 billion outstanding shares. The company's EPS stands at $5.96 and it trades at a P/E ratio of 31.79. This indicates that investors are willing to pay a multiple of 31.79 times of its earnings to own the stock, suggesting market optimism about Apple's future earnings growth.
In the Analyst Recommendations, there is no strong buy, 24 recommend a buy, 8 hold, and 1 sell recommendation, with a consensus of "Buy". The consensus target price stands at $186.76 which is slightly below the last closing price.
NEWS AND UPCOMING EVENTS
Recent news suggests that Apple has received significant attention, with assets such as the Mac, iPod, and iPhone described as American success stories. This positive sentiment could result in an upward stock price movement.
There is an anticipation around the introduction of iPhone 15. Historically, Apple's stock has seen increases during the launch and sale of new iPhone models.
The discount on the MLS Season Pass indicates Apple's strategy to increase customer base and viewership, which might result in increased revenue in the upcoming quarters.
Apple is also on track for its longest winning streak in 17 months, reflecting positive market sentiment about the stock.
FORECAST AND EVALUATIONS
Based on the technical indicators and news around the stock, it can be forecasted that for the next trading day (September 05, 2023), the stock may experience slight volatility but remain on its positive trajectory.
In the upcoming week, considering the anticipation around the launch of the new iPhone and its historical impact on the stock price, investors can expect a potential upward movement in the stock price.
Finally, considering the stability of the company, its growth prospects with new product launches, market sentiment, and the current technical and fundamental analysis, Apple Inc. (AAPL) could be categorized as a 'Buy'. Investors should consider their individual risk profile and investment strategy before making any decisions.
