Earnings Per Share (EPS) of $0.97 was below the estimated $1.60. Revenue of approximately $94.93 billion, surpassing the estimated $94.51 billion. Financial ratios indicate a strong market position despite high valuation with a PEG ratio of 3.5x. Apple Inc. (NASDAQ:AAPL) is a leading technology company known for its innovative products like the iPhone, iPad, and Mac. It competes with other tech giants such as Samsung and Google. On October 31, 2024, Apple reported earnings per share (EPS) of $0.97, which was below the estimated $1.60. However, the company generated revenue of approximately $94.93 billion, surpassing the estimated $94.51 billion. During the Q4 2024 earnings conference call, CEO Tim Cook and CFO Luca Maestri discussed the company's financial performance. The call, attended by analysts from major financial institutions like Goldman Sachs and Morgan Stanley, provided insights into Apple's fiscal strategies. Despite the lower-than-expected EPS, Apple's revenue performance offered some relief, especially amid mixed reports about the iPhone 16 launch. Apple's performance in China has shown improvement, but it still falls short of expectations. This raises questions about potential growth sources for the company. Despite its defensible qualities, Apple stock remains highly priced with a PEG ratio of 3.5x. A fair value above $215 seems unattainable, as highlighted by the company's current financial metrics. Apple's financial ratios provide a deeper understanding of its market position. The price-to-earnings (P/E) ratio of approximately 36.57 indicates the price investors are willing to pay for each dollar of earnings. The price-to-sales ratio stands at about 8.78, reflecting the market's valuation of its revenue. Additionally, the enterprise value to sales ratio is around 8.95, suggesting how the market values the company relative to its sales, including debt and excluding cash. The company's debt-to-equity ratio is approximately 1.68, highlighting the proportion of debt used to finance its assets relative to shareholders' equity. Apple's current ratio is around 0.87, indicating its ability to cover short-term liabilities with short-term assets. These financial metrics, along with an earnings yield of about 2.73%, provide a comprehensive view of Apple's financial health and market valuation.
A pple Inc. designs, manufactures, and markets smartphones, personal computers, tablets, wearables, and accessories worldwide. The company offers iPhone, a line of smartphones; Mac, a line of personal computers;