Don’t catch the falling knife although Apple (AAPL) is super under value now. Sarcastically most Analysts have a BUY or OVERWEIGHT call on AAPL but downgrade the target price. You are going to lose money if you just follow blindly the recommendation of the analysts. This is a classic example of combining Fundamental Analysis, Technical Analysis, Analyst Recommendation and the interpretation of Target Price, and develop a Trading Plan or Investment Plan.
Fundamental Analysis
- Last Traded Price = $439.88
- Current PE = 9.96
- Forward PE = 7.73
- PEG = 0.48
- P/B = 3.49
- Current Ratio = 1.50
- Debt / Equity = 0
- ROA = 28.54%
- ROE = 42.84%
Using DCF Valuation Method
- Intrinsic Value (7% annual growth rate for the next 10 years) = $713.54
- Intrinsic Value (12% annual growth rate for the next 10 years) = $918.80
- Operating Cash Flow ...
