Just as it always does, Apple’s (AAPL) Keynote event generated quite a buzz. In addition to announcing several new products and upgrades, this year’s event inaugurated the Steve Jobs Theater at Apple Park.
And as usual, reactions to the presentation have been quite strong. Perhaps more than any other company, Apple has both zealous and loyal enthusiasts and equally as zealous critics.
Consequently, discussions regarding Apple’s future business growth and investment merit tend to be very opinionated and highly charged and emotional.
Therefore, with this article I’m going to refrain from offering opinions and present a historical review of Apple by the numbers based on fundamentals.
To add interest to the presentation, I am going to present Apple’s historical operating performance over the timeframe 1998 to current which coincides with Steve Jobs’ return to the company after his resignation in 1985.
The operating results that Apple achieved after Steve Jobs returned to the company may surprise and fascinate you. I know it fascinated me.
Nevertheless, regardless of whether you love Apple and its products or hate them, I offer this article as a matter-of-fact look at Apple’s history and future by the numbers. Furthermore, I am going to refrain from offering forecasts of how many iPhones Apple might or might not sell in the future. There are plenty of reports already published where this information can be found. The objective of this article is to provide a factual review of Apple by the numbers based on fundamentals.
FAST Graphs Logarithmic Analyze Out Loud Valuation Analysis of Apple Inc.
The fundamental analysis on Apple is contained in this video. Regardless of your opinion of Apple and its products, this video will clearly illustrate the investment potential of Apple going forward.
For additional insights into the legacy of Steve Jobs and Apple, you can follow this link that was produced shortly after his death.
For additional insights into Apple’s operating history, you can follow this link to the article I published titled Steve Jobs’ Legacy, And Apple’s Record, Will Live On.
Summary and Conclusions
Apple Inc. has been a great American success story, much of which can be attributed to its iconic founder Steve Jobs. However, from a practical point of view, the enormous growth and performance that Apple generated for shareholders over the years has evolved and changed as logic would dictate. The company has become enormously large, which is always an impediment to fast growth.
Consequently, in 2012 Apple initiated its first dividend as the company had morphed from a pure growth stock into a high quality dividend growth stock. Therefore, I believe investors should recognize how Apple has changed as an investment and think of investing in the company accordingly. An important part of achieving investment success is managing realistic expectations. Apple still has investment merit, but I believe the stock today is more about quality, income and perhaps moderate growth.
— Chuck Carnevale
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Source: FAST Graphs
Disclosure: Long AAPL at the time of writing.