New Street Research Lowers Apple (AAPL) to Sell

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New Street Research lowered shares of Apple (NASDAQ:AAPL) from a neutral rating to a sell rating in a research report sent to investors on Monday, The Fly reports.

Several other research analysts have also recently issued reports on AAPL. Atlantic Securities reaffirmed a neutral rating and issued a $205.00 price target on shares of Apple in a report on Wednesday, August 1st. BMO Capital Markets upped their price target on Apple from $184.00 to $199.00 and gave the company a market perform rating in a report on Wednesday, August 1st. They noted that the move was a valuation call. Needham & Company LLC upped their price target on Apple from $210.00 to $220.00 and gave the company a buy rating in a report on Wednesday, August 1st. Goldman Sachs Group reaffirmed a neutral rating and issued a $200.00 price target on shares of Apple in a report on Wednesday, August 1st. Finally, BidaskClub raised Apple from a hold rating to a buy rating in a report on Tuesday, August 7th. Two research analysts have rated the stock with a sell rating, fifteen have given a hold rating, thirty-two have given a buy rating and one has issued a strong buy rating to the company’s stock. The stock presently has a consensus rating of Buy and an average price target of $219.51.

AAPL opened at $215.46 on Monday. The company has a market capitalization of $1,020.04 billion, a price-to-earnings ratio of 23.39, a PEG ratio of 1.64 and a beta of 1.16. The company has a debt-to-equity ratio of 0.84, a current ratio of 1.31 and a quick ratio of 1.24. Apple has a 1-year low of $149.16 and a 1-year high of $219.18.

Apple (NASDAQ:AAPL) last posted its quarterly earnings results on Tuesday, July 31st. The iPhone maker reported $2.34 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $2.18 by $0.16. The company had revenue of $53.27 billion for the quarter, compared to analysts’ expectations of $52.43 billion. Apple had a return on equity of 43.50% and a net margin of 21.98%. The firm’s revenue was up 17.3% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.67 earnings per share. analysts predict that Apple will post 11.68 EPS for the current fiscal year.

Apple declared that its board has approved a stock repurchase plan on Tuesday, May 1st that authorizes the company to buyback $100.00 billion in outstanding shares. This buyback authorization authorizes the iPhone maker to purchase up to 11.9% of its stock through open market purchases. Stock buyback plans are often an indication that the company’s leadership believes its stock is undervalued.

The business also recently declared a quarterly dividend, which was paid on Thursday, August 16th. Stockholders of record on Monday, August 13th were issued a dividend of $0.73 per share. This represents a $2.92 annualized dividend and a dividend yield of 1.36%. The ex-dividend date of this dividend was Friday, August 10th. Apple’s dividend payout ratio is currently 31.70%.

In other news, insider Johny Srouji sold 14,976 shares of the business’s stock in a transaction on Wednesday, May 23rd. The shares were sold at an average price of $187.74, for a total transaction of $2,811,594.24. Following the transaction, the insider now directly owns 73,302 shares in the company, valued at approximately $13,761,717.48. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, insider Craig Federighi sold 47,796 shares of the business’s stock in a transaction on Thursday, August 9th. The shares were sold at an average price of $207.50, for a total transaction of $9,917,670.00. Following the transaction, the insider now owns 412,571 shares in the company, valued at $85,608,482.50. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 141,066 shares of company stock worth $28,208,138. 0.06% of the stock is currently owned by corporate insiders.

Several institutional investors have recently bought and sold shares of the company. Cortland Associates Inc. MO boosted its holdings in Apple by 28.6% in the fourth quarter. Cortland Associates Inc. MO now owns 4,250 shares of the iPhone maker’s stock worth $719,000 after purchasing an additional 945 shares in the last quarter. Ferguson Wellman Capital Management Inc. boosted its holdings in Apple by 1.6% in the fourth quarter. Ferguson Wellman Capital Management Inc. now owns 374,732 shares of the iPhone maker’s stock worth $63,416,000 after purchasing an additional 5,941 shares in the last quarter. Vantage Investment Advisors LLC boosted its holdings in Apple by 2.0% in the fourth quarter. Vantage Investment Advisors LLC now owns 88,499 shares of the iPhone maker’s stock worth $14,977,000 after purchasing an additional 1,777 shares in the last quarter. JLB & Associates Inc. boosted its holdings in Apple by 10.8% in the fourth quarter. JLB & Associates Inc. now owns 92,614 shares of the iPhone maker’s stock worth $15,673,000 after purchasing an additional 8,995 shares in the last quarter. Finally, Canal Capital Management LLC boosted its holdings in Apple by 13.9% in the fourth quarter. Canal Capital Management LLC now owns 25,792 shares of the iPhone maker’s stock worth $4,365,000 after purchasing an additional 3,147 shares in the last quarter. Institutional investors and hedge funds own 60.11% of the company’s stock.

Apple Company Profile

Apple Inc designs, manufactures, and markets mobile communication and media devices, and personal computers to consumers, and small and mid-sized businesses; and education, enterprise, and government customers worldwide. The company also sells related software, services, accessories, networking solutions, and third-party digital content and applications.

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