Apple Inc. $AAPL Shares Acquired by Saudi Central Bank

Key Points

• Saudi Central Bank nearly doubled its Apple position in the second quarter, adding 485,166 shares to own 1.03 million shares valued at approximately $297.4 million. Apple now represents 3.8% of the bank’s portfolio and is its fifth-largest holding.
• Apple received a consensus “Moderate Buy” rating from analysts, with an average price target of $340.02, although some firms recently maintained neutral ratings or reduced their targets.
• Apple shares traded near record levels, with a market capitalization of about $4.91 trillion and a P/E ratio of 38.61. The company recently exceeded quarterly earnings and revenue expectations, while investors continue to weigh strong Services growth against valuation and margin concerns.

Saudi Central Bank increased its position in shares of Apple Inc. (NASDAQ:AAPL - Free Report) by 89.4% during the second quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 1,027,683 shares of the iPhone maker's stock after buying an additional 485,166 shares during the quarter. Apple accounts for 3.8% of Saudi Central Bank's portfolio, making the stock its 5th biggest holding. Saudi Central Bank's holdings in Apple were worth $297,370,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in AAPL. Hutchens & Kramer Investment Management Group LLC raised its holdings in Apple by 9.2% in the 2nd quarter. Hutchens & Kramer Investment Management Group LLC now owns 15,337 shares of the iPhone maker's stock valued at $4,438,000 after acquiring an additional 1,296 shares in the last quarter. Semitam Bonam LLC lifted its position in shares of Apple by 10.0% in the 2nd quarter. Semitam Bonam LLC now owns 2,176 shares of the iPhone maker's stock worth $630,000 after acquiring an additional 198 shares during the period. Chico Wealth RIA grew its holdings in shares of Apple by 3.9% during the 2nd quarter. Chico Wealth RIA now owns 6,408 shares of the iPhone maker's stock worth $1,854,000 after purchasing an additional 242 shares in the last quarter. Riverview Capital Advisers LLC grew its holdings in shares of Apple by 0.9% during the 2nd quarter. Riverview Capital Advisers LLC now owns 86,199 shares of the iPhone maker's stock worth $24,943,000 after purchasing an additional 757 shares in the last quarter. Finally, Kaydan Wealth Management Inc. increased its position in shares of Apple by 0.9% during the second quarter. Kaydan Wealth Management Inc. now owns 10,511 shares of the iPhone maker's stock valued at $3,042,000 after purchasing an additional 95 shares during the period. 67.73% of the stock is currently owned by institutional investors.

Key Apple News

Here are the key news stories impacting Apple this week:

• Positive Sentiment: Apple is reportedly partnering with LG Electronics to develop a smart-home lineup including a doorbell, smart lock, thermostat and other accessories tied to a new Apple home hub. The initiative could expand the HomeKit ecosystem, create new hardware and services revenue, and intensify competition with Amazon’s Ring and Google’s Nest. Apple partners with LG on smart-home devices
• Positive Sentiment: Apple’s App Store revenue growth reportedly rebounded to 5% in September after a weaker August. Continued Services momentum supports the company’s recurring-revenue profile, though investors are watching whether the improvement proves durable. Apple App Store growth rebounds
• Neutral Sentiment: CEO John Ternus sold 25,412 shares worth about $8.5 million to cover tax withholding tied to equity vesting. Because the transaction was tax-related rather than described as discretionary selling, it is unlikely to materially change the investment case, though it may create short-term headline pressure. Apple CEO stock sale
• Negative Sentiment: Morgan Stanley lowered its Apple price target to $355 despite raising revenue forecasts, citing softer iPhone pricing and higher memory-chip costs that could compress gross margins. The target is only modestly above recent trading levels, limiting perceived upside. Morgan Stanley cuts Apple price target
• Negative Sentiment: Several valuation comparisons highlight that investors pay substantially more for each dollar of Apple’s earnings than for Nvidia’s, despite Nvidia’s stronger recent profitability. With AAPL trading at an elevated earnings multiple, the stock may require sustained iPhone, Services and AI growth to justify its premium. Nvidia versus Apple valuation comparison

Analyst Ratings Changes

A number of research analysts recently commented on AAPL shares. Oppenheimer restated a "market perform" rating on shares of Apple in a research note on Thursday, September 10th. Phillip Securities boosted their price target on shares of Apple from $290.00 to $300.00 and gave the company a "neutral" rating in a report on Monday, September 14th. Citigroup restated a "buy" rating on shares of Apple in a research note on Thursday, September 10th. Weiss Ratings downgraded shares of Apple from a "buy (b)" rating to a "buy (b-)" rating in a report on Friday, September 18th. Finally, Seaport Research Partners lowered shares of Apple from a "buy" rating to a "neutral" rating in a research report on Monday, August 17th. One investment analyst has rated the stock with a Strong Buy rating, twenty-five have given a Buy rating, fourteen have issued a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $340.02.

Apple Trading Up 0.9%

Shares of AAPL stock opened at $336.67 on Thursday. The company has a market capitalization of $4.91 trillion, a P/E ratio of 38.61, a P/E/G ratio of 2.66 and a beta of 1.07. Apple Inc. has a 12-month low of $243.42 and a 12-month high of $345.34. The company has a quick ratio of 0.93, a current ratio of 1.00 and a debt-to-equity ratio of 0.66. The firm has a 50-day moving average price of $321.92 and a 200 day moving average price of $302.11.

Apple (NASDAQ:AAPL - Get Free Report) last issued its quarterly earnings data on Thursday, July 30th. The iPhone maker reported $2.02 earnings per share for the quarter, topping the consensus estimate of $1.89 by $0.13. The firm had revenue of $109.42 billion for the quarter, compared to analysts' expectations of $109.04 billion. Apple had a net margin of 27.62% and a return on equity of 135.46%. The company's quarterly revenue was up 16.4% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.57 earnings per share. Research analysts forecast that Apple Inc. will post 8.75 earnings per share for the current fiscal year.

Apple Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Thursday, August 13th. Investors of record on Monday, August 10th were given a dividend of $0.27 per share. The ex-dividend date was Monday, August 10th. This represents a $1.08 dividend on an annualized basis and a yield of 0.3%. Apple's dividend payout ratio is 12.39%.

Insiders Place Their Bets

In related news, SVP Jennifer Newstead sold 2,399 shares of the firm's stock in a transaction on Tuesday, September 29th. The stock was sold at an average price of $336.18, for a total transaction of $806,495.82. Following the completion of the sale, the senior vice president directly owned 41,992 shares of the company's stock, valued at $14,116,870.56. This trade represents a 5.40% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO John Ternus sold 25,412 shares of Apple stock in a transaction on Friday, October 2nd. The shares were sold at an average price of $332.94, for a total value of $8,460,671.28. Following the completion of the transaction, the chief executive officer owned 59,567 shares of the company's stock, valued at approximately $19,832,236.98. The trade was a 29.90% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 276,984 shares of company stock valued at $92,116,025 in the last 90 days. Insiders own 0.06% of the company's stock.

Apple Company Profile

Apple Inc is a technology company that designs, develops and markets consumer electronics, software and digital services. Its best-known products include the iPhone smartphone, Mac personal computers, iPad tablets, Apple Watch, AirPods and other accessories. The company also develops operating systems and software platforms, including iOS, macOS, iPadOS, watchOS and visionOS.

Apple's services business includes the App Store, Apple Music, Apple TV+, Apple Arcade, Apple News+, Apple Fitness+ and iCloud.

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