IBD Stock Analysis
- Shares hit buy point of 145.19 out of consolidation in July
- Buy zone extends to 152.45; more entry points are possible
- Look for stock to break short downtrend, or to form flat base
Industry Group Ranking
* Not real-time data. All data shown was captured at
1:10PM EDT on
On the stock market today, Apple inched down a nickel to 146.09.
On July 9, Apple stock reached a buy point of 145.19 as it broke out of a 23-week consolidation pattern, based on a weekly chart on IBD MarketSmith. It remains in the 5% buy zone, which extends to 152.45.
Apple notched a record high of 150 on July 15 ahead of the company’s June-quarter earnings report on July 27.
Apple Stock In Narrow Trading Range
Earlier, on June 30, Apple stock hit a buy point of 137.17 out of a cup base, according to a daily MarketSmith chart.
Apple stock has been trading in a narrow range since it posted blowout results for its fiscal third quarter ended June 26, thanks to strong iPhone sales. Lately, it has found support at its 21-day exponential moving average.
All Eyes On iPhone 13 Launch
The next potential catalyst for Apple stock likely will be the introduction of the company’s iPhone 13 handsets in September. The new models will be Apple’s second-generation 5G smartphones after the current iPhone 12 series.
On Monday, Monness Crespi Hardt analyst Brian White reiterated his buy rating on Apple stock with a price target of 184.
In a note to clients, White said, “Apple has enhanced its value proposition (during the Covid-19 pandemic) by introducing new innovations (and) supporting a more digital lifestyle.”
He believes the iPhone 13 launch in September will be the next mover for Apple stock.
Apple Car In The Works?
Meanwhile, the Korea Times reported Monday that Apple has been in talks with multiple Korean companies about supplying components for the rumored Apple electric vehicle. Apple has held “early stage talks” with LG Electronics, SK Group and Hanwha Group, the article said.
Apple stock has an IBD Composite Rating of 89 out of 99, according to IBD Stock Checkup. IBD’s Composite Rating is a blend of key fundamental and technical metrics to help investors gauge a stock’s strengths. The best growth stocks have a Composite Rating of 90 or better.
But Apple has a mediocre IBD Relative Strength Rating of 66 out of 99. The Relative Strength Rating shows how a stock’s price performance stacks up against all other stocks over the last 52 weeks.
Also, Apple stock has an IBD Accumulation/Distribution Rating of C-, indicating lackluster institutional buying of shares.
Follow Patrick Seitz on Twitter at @IBD_PSeitz for more stories on consumer technology, software and semiconductor stocks.
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