Apple: A Piece Of This Pie Is Too Expensive For Me

Summary:

• Apple Inc.’s massive buyback program has driven share price appreciation, overshadowing actual growth and inflating valuation metrics.
• Future growth needs to be substantial to justify Apple’s current valuation.
• Fundamental valuation models, including DCF and shareholder yield, suggest Apple’s fair value is significantly below its current share price.
• Investors should be cautious with AAPL’s stock at this price.

Summary

Apple Inc. (NASDAQ:AAPL) has long been one of the most watched stocks on Wall Street. It has a share price driven by strong growth, an efficient underlying company, and an expansion in enterprise value, all good reasons for

Analyst’s Disclosure: I/we have a beneficial short position in the shares of AAPL either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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