Apple Stock – 5 Critical Things to Consider Before Investing

Apple has been one of the best-performing stocks in modern history. According to the company, there are now over 1 billion iPhones in active use worldwide.

Here are five things you need to consider before you buy Apple stock:

1. Apple Stock’s History

Apple had its IPO (initial public offering) on December 12, 1980, at $22.00 per share, trading under the ticker AAPL. Since then, there have been five stock splits, so if you compare the current market price, the split-adjusted IPO price was 10 cents. Here is Apple’s stock split history: – 2-for-1 basis on June 16, 1987 – 2-for-1 basis on June 21, 2000 – 2-for-1 basis on February 28, 2005 – 7-for-1 basis on June 9, 2014 – 4-for-1 basis on August 28, 2020

2. Research Apple Stock’s Fundamentals

Good investors spend time researching before buying a stock to get a sense of its current value and future prospects. Some of the things you will want to research include: – revenue – net income – cash flow – competitive analysis – company management – overall industry trends

3. Does Apple Fit Your Investing Goals?

Even the greatest company in the world won’t be the perfect fit for everyone’s portfolio. Before buying Apple stock or any other stock, make sure you have clear investment goals and know how the stock will fit into them.

4. How Much Can You Afford to Invest in Apple?

As a rule of thumb, stocks should be considered long-term investments. You should only invest money you won’t need in the short-term into the stock market.

5. Pros and cons of Apple stock

Even the best investments have risks. Before you commit to investing in Apple or any other stock, you should make sure you think through the advantages and disadvantages.

Apple Stock Pros

- Apple is a huge brand. Apple has built a reputation for quality products, and in many cases, these products are seen as a status symbol. - A tightly-knit ecosystem of products. Over the years, Apple has done an excellent job of creating products that work together so well that it is easy to keep buying Apple and hard to leave once you are inside the ecosystem. - An industry leader in innovation. Apple prioritizes user experience, whether that’s in its software or hardware.

Apple Stock Cons

- High growth days are mostly over. Apple is one of the biggest companies in the world. - Antitrust legal risk. Over the last few years, there have been dozens of lawsuits against Apple and other tech giants over how much power they have to control pricing and customer behavior. - Valuation. Apple’s P/E ratio is high compared to historical trends.

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