Apple (NASDAQ:AAPL) Stock Price Down 1.9% - Should You Sell?

Key Points

• Apple's stock price has decreased by 1.9% to $203.55, with trading volume down 37% from the average session.
• Several brokerages have raised their target prices for Apple's stock, with estimates ranging from $220.00 to $245.00, indicating a consensus rating of Moderate Buy.
• The company has announced a quarterly dividend of $0.26, with a $100 billion stock buyback plan initiated to repurchase up to 3.1% of its shares.

Apple Inc. (NASDAQ:AAPL - Get Free Report)'s stock price fell 1.9% during mid-day trading on Friday . The company traded as low as $203.62 and last traded at $203.55. 35,799,099 shares changed hands during trading, a decline of 37% from the average session volume of 56,511,109 shares. The stock had previously closed at $207.57.

Analyst Upgrades and Downgrades

A number of brokerages have weighed in on AAPL. Citigroup raised their target price on Apple from $240.00 to $245.00 and gave the company a "buy" rating in a report on Friday. UBS Group raised their target price on Apple from $210.00 to $220.00 and gave the company a "neutral" rating in a report on Friday. KeyCorp raised Apple from an "underweight" rating to a "sector weight" rating in a report on Monday, April 14th. Bank of America raised their target price on Apple from $235.00 to $240.00 and gave the company a "buy" rating in a report on Friday. Finally, Jefferies Financial Group raised Apple from an "underperform" rating to a "hold" rating in a report on Friday, July 18th. Two equities research analysts have rated the stock with a sell rating, twelve have given a hold rating, fifteen have assigned a buy rating and two have issued a strong buy rating to the company. According to MarketBeat, Apple presently has an average rating of "Moderate Buy" and a consensus price target of $237.25.

Apple Stock Down 2.6%

The stock has a fifty day moving average of $205.22 and a 200 day moving average of $213.98. The firm has a market capitalization of $3.02 trillion, a P/E ratio of 31.51, a price-to-earnings-growth ratio of 2.30 and a beta of 1.20. The company has a debt-to-equity ratio of 1.18, a current ratio of 0.82 and a quick ratio of 0.78.

Apple (NASDAQ:AAPL - Get Free Report) last issued its quarterly earnings results on Thursday, July 31st. The iPhone maker reported $1.57 EPS for the quarter, topping analysts' consensus estimates of $1.43 by $0.14. The business had revenue of $94.04 billion for the quarter, compared to analyst estimates of $88.64 billion. Apple had a return on equity of 167.24% and a net margin of 24.30%. Apple's quarterly revenue was up 9.6% compared to the same quarter last year. During the same period last year, the company posted $1.40 earnings per share. On average, research analysts anticipate that Apple Inc. will post 7.28 EPS for the current fiscal year.

Apple Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, August 14th. Shareholders of record on Monday, August 11th will be paid a $0.26 dividend. This represents a $1.04 annualized dividend and a dividend yield of 0.5%. Apple's payout ratio is presently 16.20%.

Apple announced that its Board of Directors has initiated a stock buyback plan on Thursday, May 1st that permits the company to repurchase $100.00 billion in outstanding shares. This repurchase authorization permits the iPhone maker to purchase up to 3.1% of its stock through open market purchases. Stock repurchase plans are usually an indication that the company's board of directors believes its stock is undervalued.

Insider Activity

In other Apple news, insider Chris Kondo sold 4,486 shares of the business's stock in a transaction on Monday, May 12th. The stock was sold at an average price of $208.19, for a total value of $933,940.34. Following the sale, the insider directly owned 15,533 shares in the company, valued at $3,233,815.27. The trade was a 22.41% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. 0.06% of the stock is currently owned by insiders.

Institutional Trading of Apple

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Advanced Portfolio Management LLC raised its stake in shares of Apple by 0.3% during the 4th quarter. Advanced Portfolio Management LLC now owns 13,815 shares of the iPhone maker's stock valued at $3,260,000 after purchasing an additional 47 shares during the period. Baker Boyer National Bank raised its stake in shares of Apple by 0.3% during the 2nd quarter. Baker Boyer National Bank now owns 18,011 shares of the iPhone maker's stock valued at $3,695,000 after purchasing an additional 47 shares during the period. Family Capital Management Inc. raised its stake in shares of Apple by 0.3% during the 4th quarter. Family Capital Management Inc. now owns 16,910 shares of the iPhone maker's stock valued at $4,235,000 after purchasing an additional 48 shares during the period. Farmers & Merchants Trust Co of Chambersburg PA raised its stake in shares of Apple by 0.3% during the 4th quarter. Farmers & Merchants Trust Co of Chambersburg PA now owns 16,682 shares of the iPhone maker's stock valued at $4,178,000 after purchasing an additional 48 shares during the period. Finally, Salus Financial Advisors LLC raised its stake in shares of Apple by 3.9% during the 1st quarter. Salus Financial Advisors LLC now owns 1,310 shares of the iPhone maker's stock valued at $291,000 after purchasing an additional 49 shares during the period. 67.73% of the stock is currently owned by institutional investors.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.