Apple’s strong institutional buying and solid Q1 earnings beat.
Apple Inc. (NASDAQ: AAPL) has been garnering noteworthy attention from institutional investors, with major hedge funds and investment firms increasing their stakes in the company. Vantage Investment Partners LLC, for instance, disclosed ownership of 189,550 shares of Apple in its latest SEC filing, ranking it as the firm’s 9th largest position, valued at around $41.4 million. This represents 3.6% of Vantage’s overall portfolio.
Institutional Confidence Builds
Several other hedge funds also demonstrated their confidence in Apple during the third quarter:
– High Net Worth Advisory Group LLC augmented its holdings by 1.7%, now possessing 64,015 shares valued at $14.9 million.
– Sterling Investment Counsel LLC boosted its position by 3.8%, acquiring an additional 2,565 shares, bringing its total to 69,824 shares worth $16.3 million.
– Silicon Valley Capital Partners took a significant step forward, increasing its stake by 12.8% to 253,743 shares valued at $59.1 million.
– Catalyst Financial Partners LLC expanded its position by 4.2%, now holding 96,589 shares worth $22.5 million.
In total, institutional investors and hedge funds collectively own approximately 67.73% of Apple’s outstanding shares, showcasing a strong sense of long-term confidence in the company’s performance and growth prospects.
Stock Performance and Financial Indicators
On Friday, Apple shares opened at $218.27, boasting a market capitalization of $3.28 trillion. The stock trades with a price-to-earnings (PE) ratio of 34.65, a price/earnings-to-growth (PEG) ratio of 2.44, and a beta of 1.18, reflecting a moderate level of volatility.
Key financial metrics include:
– 50-day moving average: $231.82
– 200-day moving average: $233.26
– 12-month range: $164.08 – $260.10
– Current ratio: 0.92
– Quick ratio: 0.88
– Debt-to-equity ratio: 1.26
Q1 Earnings Surpass Expectations
In its Q1 2025 earnings report, Apple reported earnings per share (EPS) of $2.40, surpassing the consensus estimate of $2.36 by $0.04. The company achieved a net margin of 24.3% and a return on equity (ROE) of 160.83%, highlighting its exceptional level of profitability. Analysts are now projecting Apple’s full-year EPS to reach $7.28, indicating consistent growth despite prevailing macroeconomic challenges.
Dividend and Shareholder Returns
Apple recently disbursed its quarterly dividend of $0.25 per share on February 13th to shareholders as of record on February 10th. This equates to an annualized dividend of $1.00, translating to a dividend yield of 0.46%. Apple’s dividend payout ratio (DPR) currently stands at 15.87%, providing leeway for potential future dividend increases or share buybacks.
Investors, particularly institutional ones, continue to demonstrate unwavering confidence in Apple’s upward trajectory, highlighting the company’s strong performance and robust financial metrics.
