Apple (NASDAQ:AAPL) Trading Down 1.7% - Time to Sell?

Key Points

• Apple's stock fell by 1.7%, trading at $228.10 with a significant drop in trading volume, down 79% from its average daily volume.
• Analysts have mixed ratings for Apple, with target price increases from Barclays to $180.00 and a reaffirmed target of $270.00 from Wedbush, while the overall consensus rating remains a “Moderate Buy”.
• The company recently announced a quarterly dividend of $0.26, yielding 0.5% annually, reflecting a payout ratio of 15.78%.

Apple Inc. (NASDAQ:AAPL - Get Free Report)'s share price traded down 1.7% during mid-day trading on Tuesday . The stock traded as low as $227.68 and last traded at $228.10. 11,603,415 shares changed hands during mid-day trading, a decline of 79% from the average session volume of 56,563,340 shares. The stock had previously closed at $232.14.

Wall Street Analyst Weigh In

AAPL has been the topic of several recent research reports. UBS Group raised their target price on shares of Apple from $210.00 to $220.00 and gave the company a "neutral" rating in a research note on Friday, August 1st. Rosenblatt Securities restated a "neutral" rating and issued a $217.00 price objective on shares of Apple in a report on Tuesday, July 29th. Barclays lifted their target price on shares of Apple from $173.00 to $180.00 and gave the stock an "underweight" rating in a report on Friday, August 1st. Monness Crespi & Hardt increased their price target on Apple from $245.00 to $270.00 and gave the company a "buy" rating in a research note on Friday, August 1st. Finally, Morgan Stanley set a $240.00 target price on Apple and gave the company an "overweight" rating in a research note on Wednesday. Two investment analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, twelve have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $239.05.

Apple Price Performance

The firm has a market capitalization of $3.56 trillion, a price-to-earnings ratio of 36.39, a price-to-earnings-growth ratio of 2.49 and a beta of 1.11. The business has a fifty day moving average of $218.50 and a two-hundred day moving average of $212.89. The company has a debt-to-equity ratio of 1.25, a quick ratio of 0.83 and a current ratio of 0.87.

Apple (NASDAQ:AAPL - Get Free Report) last announced its earnings results on Thursday, July 31st. The iPhone maker reported $1.57 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.43 by $0.14. Apple had a net margin of 24.30% and a return on equity of 170.91%. The firm had revenue of $94.04 billion for the quarter, compared to analyst estimates of $88.64 billion. During the same quarter in the prior year, the business posted $1.40 EPS. The business's revenue was up 9.6% compared to the same quarter last year. As a group, research analysts predict that Apple Inc. will post 7.28 EPS for the current fiscal year.

Apple Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, August 14th. Investors of record on Monday, August 11th were given a dividend of $0.26 per share. The ex-dividend date was Monday, August 11th. This represents a $1.04 annualized dividend and a dividend yield of 0.4%. Apple's dividend payout ratio is presently 15.78%.

Insider Buying and Selling at Apple

In other Apple news, SVP Deirdre O'brien sold 34,821 shares of the stock in a transaction dated Friday, August 8th. The shares were sold at an average price of $223.20, for a total value of $7,772,047.20. Following the completion of the sale, the senior vice president owned 136,687 shares in the company, valued at approximately $30,508,538.40. This trade represents a 20.30% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Company insiders own 0.06% of the company's stock.

Hedge Funds Weigh In On Apple

Several hedge funds have recently bought and sold shares of AAPL. Ryan Investment Management Inc. purchased a new stake in Apple during the 2nd quarter valued at about $31,000. ROSS JOHNSON & Associates LLC raised its position in Apple by 1,800.0% during the 1st quarter. ROSS JOHNSON & Associates LLC now owns 190 shares of the iPhone maker's stock valued at $42,000 after purchasing an additional 180 shares during the last quarter. Conquis Financial LLC bought a new position in shares of Apple during the fourth quarter valued at approximately $63,000. Nexus Investment Management ULC lifted its stake in Apple by 333.3% in the second quarter. Nexus Investment Management ULC now owns 260 shares of the iPhone maker's stock worth $53,000 after acquiring an additional 200 shares during the period. Finally, LSV Asset Management bought a new stake in Apple in the fourth quarter valued at $65,000. Hedge funds and other institutional investors own 67.73% of the company's stock.

Apple Company Profile

Apple Inc designs, manufactures, and markets smartphones, personal computers, tablets, wearables, and accessories worldwide. The company offers iPhone, a line of smartphones; Mac, a line of personal computers; iPad, a line of multi-purpose tablets; and wearables, home, and accessories comprising AirPods, Apple TV, Apple Watch, Beats products, and HomePod.