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Apple Inc. (AAPL) Stock Analysis

Score B

Compounder · Grade A · Bullish

Technology · Consumer Electronics

$258.83

Fair Value

$193.85

-25.1%

Conviction

10/10

Quality

A

Classification

Compounder

Investment Thesis

Price is above modeled value range. Quality supports holding but not attractive for new positions.

High-quality company trading above modeled fair value. Price above modeled entry range.

For New Investors

Price above modeled value range

For Current Holders

Quantitative score: neutral

Buy if

  • Price drops 15-20% (improves asymmetry)
  • Bull scenario catalysts materialize
  • Market-wide correction creates opportunity

Sell if

  • Bear scenario triggers occur
  • Quality metrics deteriorate (ROIC declining)
  • Better alternatives emerge

Valuation

Fair Value estimate: $193.85 (-25.1%). Overvalued vs fundamentals.

PEG-Based EPS

$74.26

FCF DCF Model

$174.19

EV/EBITDA

$201.71

Blended Fair Value

$193.85

Confidence

Medium

Methods

PEG-Based EPS, FCF 2-Stage DCF, EV/EBITDA

Quality Analysis

A

98/120 points

Investable

ROE (3Y Avg)

157.5%

ROIC-WACC Spread

44.1%

D/E Ratio

1.5x

Current Ratio

0.9x

Interest Coverage

99x

FCF Positive Years

3/3

Quality Flags

  • Leverage: D/E 1.5x (0/15 pts)
  • Liquidity: Current Ratio 0.89 (8/10 pts)

Market Sentiment

Wall Street Consensus

$325.00

+25.6% Upside

0

Range: $239.00$350.00

Analyst consensus data not available.

Trend & Technical

Bullish

Price ($258.83) is 3.2% above SMA 200 ($250.89). Bullish trend confirmed.

Technical Score90/100

Tech Score 90/100 — MOMENTUM ALIGNMENT. Healthy uptrend confirmed by RSI and MACD. Technical tailwind.

Risk & Reward

Asymmetry Ratio

1.91:1

Expected Return

+6.6%

Bull Upside

+23.4%

Bear Downside

-12.2%

Moderate asymmetry: 1.91:1 ratio. Balanced risk/reward.

Verdict: Neutral

Scenario Analysis

Bear

Base

Bull

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Frequently Asked Questions

What is the fair value of AAPL?

Based on our multi-method conviction analysis, the estimated fair value of Apple Inc. (AAPL) is $193.85. This is calculated by blending PEG-Based EPS, FCF 2-Stage DCF, EV/EBITDA and applying a quality premium of 0% based on the company's fundamentals. The confidence level of this estimate is medium.

Is AAPL a buy, sell, or hold?

AAPL currently has a HOLD rating with a conviction score of 10/10. Price is above modeled value range. Quality supports holding but not attractive for new positions. Price above modeled value range.

Is AAPL a high-quality stock?

Apple Inc. has a quality grade of A (98/120 points), rated as Investable. Key metrics include ROE of 157.5%, ROIC-WACC spread of 44.1%, and D/E ratio of 1.5x.

What type of stock is AAPL?

AAPL is classified as a "compounder" in our framework. High P/E: 34.1x, Low dividend (reinvesting): 0.4%, Mature growth: 4.6%, High debt: D/E 1.5x, Large cap: $3804.3B

What do Wall Street analysts say about AAPL?

Multiple Wall Street analysts have a consensus price target of $325.00 for AAPL, representing +25.6% upside. Targets range from $239.00 to $350.00. The consensus recommendation is "—". Analyst consensus data not available.

What are the risks of investing in AAPL?

The risk/reward asymmetry ratio for AAPL is 1.91:1, rated as Neutral. Moderate asymmetry: 1.91:1 ratio. Balanced risk/reward. The expected return is +6.6%, with bull case upside of +23.4% and bear case downside of -12.2%.

What is the current trend for AAPL?

AAPL is in a bullish trend. Price ($258.83) is 3.2% above SMA 200 ($250.89). Bullish trend confirmed. The technical score is 90/100.

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Last updated: April 15, 2026 · Framework version 3.7

This analysis is for informational purposes only and should not be considered financial advice. Always do your own research before making investment decisions.