Apple Stock Deserves Its Worst January Since 2013, Let's Analyze Why

Leon Laake
963 Followers
(14min)

Summary

  • Apple Inc. has seen no growth in sales, earnings, or free cash flow since Q4 2021, with major projects failing and lagging in innovation.
  • Despite underwhelming iPhone sales and a significant decline in China, AAPL stock rose 80% from 2022 lows, leading to a stretched valuation.
  • Mixed Signals for Upcoming Earnings: Seasonality and past Q1 earnings results suggest a neutral outlook, but bearish trends dominate short interest, insider activity, and options markets.
  • Bearish Options and Institutional Outflows: High-conviction bearish trades and institutional outflows highlight concerns about Apple’s near-term prospects.

Flat Lay of different apple products on a grey background.

Shahid Jamil

Introduction

Apple Inc. (NASDAQ:AAPL) has experienced its worst start to the year since 2013 — and the stock deserves it. Apple has seen absolutely no growth in sales, earnings, or free cash flow since Q4 2021. Every major project has failed (Vision

This article was written by

963 Followers
I am a 25-year-old securities specialist working in private banking in Germany, with a longstanding interest in investing. My ability to analyze stocks has been honed through extensive research and the pursuit of several degrees, the titles of which do not translate well into English.My investment strategy primarily revolves around generating income from dividends or options trading. Additionally, I allocate a smaller portion of my portfolio to investing in small, highly disruptive companies to enhance overall performance. Outside of my banking and investment endeavors, I own a businesses which is an online shop catering to videographers, photographers, and production studios by providing essential equipment.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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