uploads///

Apple Stock Has 30% Upside Potential Compared to Analyst Estimate

By

Dec. 7 2018, Updated 9:01 a.m. ET

Stock returns

Apple’s (AAPL) stock rose 17% in 2016 and gained 48% in 2017. Since the start of 2018, it’s risen ~6%, indicating absolute gains of 77% since the start of 2016. Apple stock has gained 120% in the last five years and 1,250% in the last ten years.

In comparison, the SPDR S&P 500 ETF (SPY) and the PowerShares QQQ Trust, Series 1 ETF (QQQ) have returned 2.6% and 7%, respectively, in 2018. SPY has risen 4.1% in the last year and 39% in the last three years. QQQ has risen 9.4% in the last year and 52% in the last three years. SPY is up 66% in the last five years compared to returns of 105% for QQQ.

Article continues below advertisement

Analysts’ recommendations

Of the 38 analysts tracking Apple, 32 have recommended “buys,” six have recommended “holds,” and none have recommended “sells” on its stock. Analysts’ 12-month average price target for Apple is $229.82. Apple is trading at a discount of 30% to analysts’ average estimates.

Moving averages

On December 4, Apple closed the trading day at $176.69. Based on that price, the stock was trading as follows:

  • 15.4% below its 100-day moving average of $208.84
  • 14.6% below its 50-day moving average of $207
  • 5.7% below its 20-day moving average of $187.31

MACD and RSI

Apple’s 14-day MACD (moving average convergence divergence) is -0.90. A stock’s MACD is the difference between its short-term and long-term moving averages. Apple’s negative MACD score indicates a downward trading trend.

Apple has a 14-day RSI (relative strength index) score of 37, which shows that the stock is trading closer to oversold territory. An RSI score of above 70 indicates that a stock has been overbought, while an RSI score of below 30 indicates that a stock has been oversold.

Advertisement

More From Market Realist

  • CONNECT with Market Realist
  • Link to Facebook
  • Link to Twitter
  • Link to Instagram
  • Link to Email Subscribe
Market Realist Logo
Do Not Sell My Personal Information

© Copyright 2021 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.