Fundamentals snapshot
AAPL · NMS · Technology · Consumer Electronics
Current price
$307.34
52-week range
$195.07 - $316.94
Market cap
$4.51T
One-glance verdict
Fair-value range $118.19 – $186.68 (cautious → optimistic — tap the ? for the math)
Wall Street consensus: $310.51 (108.7% higher than our fair-value estimate)
Buy below $119.05 for a 20% safety cushion
Balance sheet
Net debt $16.20B. Interest coverage shows how many times profit covers the interest bill.
What stands out
Quick scan of the biggest positives and negatives from the detailed checklist below.
What this company does
Apple makes most of its money selling hardware like the iPhone, but its highly profitable and fast-growing Services division is increasingly important. This division, which includes the App Store and various subscriptions, creates a powerful ecosystem that generates consistent, recurring revenue from its massive user base.
Apple Inc. was founded in a garage in 1976 by Steve Jobs and Steve Wozniak, who released the Apple I as a fully assembled motherboard, a new concept at the time. The company's Macintosh computer, introduced in 1984, was one of the first to feature a graphical user interface (or GUI), which lets users click on icons instead of typing commands. After a period of struggle and the temporary departure of Jobs, he returned in 1997 and began a remarkable turnaround with the launch of the iMac in 1998, the iPod in 2001, and the iTunes Store in 2003. The introduction of the iPhone in 2007 revolutionized the mobile phone industry and set Apple on the path to becoming one of the most valuable companies in the world.
Apple is a global technology company that designs, manufactures, and sells a wide range of consumer electronics, software, and online services. Most people know Apple for its iconic hardware products like the iPhone, Mac computers, iPad tablets, and Apple Watch. Beyond devices, the company has built a large and growing business around services, including the App Store, Apple Music, iCloud (its cloud storage service), and Apple TV+. Apple's strategy focuses on creating a seamless experience by tightly integrating its hardware and software, which encourages customers to own multiple Apple products.
The iPhone is Apple's line of smartphones and is the company's largest source of revenue, making up about half of its total sales. Customers pay for the physical phone, which is known for its design, ease of use, and powerful camera systems. The iPhone runs on Apple's own iOS operating system, which is a key part of its appeal. Apple releases new iPhone models annually, which encourages a regular cycle of upgrades for many users.
This is Apple's second-largest and fastest-growing business segment, representing a significant and increasing share of the company's revenue. This division makes money from a variety of digital offerings that people subscribe to or pay for individually. These include the App Store, where Apple takes a commission (a percentage of the sale) from apps and in-app purchases, as well as subscription services like Apple Music, Apple TV+, iCloud storage, and Apple Arcade for games. It also includes revenue from Apple Pay, a mobile payment service, and advertising in the App Store and Apple News.
This segment includes a popular and diverse group of products that complement Apple's main devices. It features the Apple Watch, a smartwatch with health and fitness tracking, and AirPods, which are wireless earbuds. This category also includes HomePod smart speakers and other accessories like Beats headphones and Apple-branded and third-party add-ons. This part of the business is a notable contributor to Apple's overall revenue.
The Mac is Apple's line of personal computers, including the MacBook Air and MacBook Pro laptops, and desktop computers like the iMac and Mac Studio. These computers run on macOS, Apple's proprietary operating system, and are known for their design, performance, and security. In recent years, Apple has been designing its own processor chips, like the M-series, which has led to significant improvements in performance and battery life. While not as large as the iPhone or Services segments, the Mac remains a significant and profitable part of Apple's business.
The iPad is Apple's line of multi-purpose tablets, which essentially created the modern tablet market when it was first introduced in 2010. iPads are used for a wide range of activities, from browsing the web and watching videos to creative tasks like drawing and writing, especially when paired with accessories like the Apple Pencil and Magic Keyboard. The iPad business is smaller than the iPhone and Services segments but still represents a substantial portion of Apple's sales.
Apple is heavily investing in artificial intelligence, which it calls "Apple Intelligence," to make its devices more helpful and personalized. The company is also focused on expanding its high-margin Services business by growing its base of paid subscriptions. Another key priority is diversifying its supply chain (the network of companies that provide parts and assembly) to reduce its reliance on any single country. Finally, Apple continues to explore new product categories, such as the recently launched Vision Pro, a device for what it calls "spatial computing," which blends digital content with the physical world.
Price history
Earnings history
Click any quarter to read the call summary and what the numbers say.
Is it cheap or expensive?
Wall Street consensus is the average analyst price target: $310.51 (108.7% higher than our fair-value estimate).
Buy below $119.05 for a 20% safety cushion. That means buying at least 20% below our fair value, as a buffer in case our estimate turns out too rosy.
Our most-likely fair value is $148.81 a share — about 51.6% below today's price of $307.34, so the stock currently looks expensive (overvalued).
Is it drowning in debt?
Net debt $16.2B. Interest coverage 33.8x.
Apple Inc.'s profit covers its interest bill about 33.8 times over. which is weaker than most peers shown here.
Total debt $84.71B Interest coverage 33.83x This is the baseline the peer rows are being compared against.
Total debt $125.43B Interest coverage 53.89x +59% vs AAPL Carries about 1.6x more debt cushion than AAPL.
Total debt $95.88B Interest coverage 175.32x +418% vs AAPL Carries about 5.2x more debt cushion than AAPL.
Total debt $235.54B Interest coverage 35.17x +4% vs AAPL Has roughly the same debt cushion as AAPL.
Total debt $12.81B Interest coverage 503.42x +1,388% vs AAPL Carries about 14.9x more debt cushion than AAPL.
Total debt $86.77B Interest coverage 71.48x +111% vs AAPL Carries about 2.1x more debt cushion than AAPL.
What you should know
The numbers
Tap any ? icon to learn what it means.
Valuation
Profitability
Health
Growth
Cash flow
Dividend
Metric explainer
Debt comparison
What you should know