Apple: Potential Breakout Ahead (Technical Analysis)(Rating Upgrade)

Summary:

• Apple has shown significant recovery with strong earnings, beating consensus estimates, and positive iPhone sales growth, prompting an upgrade to a “buy” rating.
• Despite challenges in the Chinese market, Apple’s overall performance and valuation within the MAG-7 cohort remain attractive, with potential for new record highs.
• Apple’s forward price-earnings ratio is relatively low compared to peers, suggesting room for gains, while its price-book ratio is notably high.
• I will maintain my long position in AAPL, expecting further upside unless the stock breaks below critical support levels, which could trigger accelerated downside momentum.

When I last covered Apple, Inc. (NASDAQ:AAPL) (NEOE:AAPL:CA) on October 16th, 2024 with my article “Apple: Limited Gains Ahead”, the stock was attempting to stabilize after falling from the record highs of $237.23 (which were posted

Analyst’s Disclosure: I/we have a beneficial long position in the shares of AAPL, NVDA, GOOG 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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