Wednesday, 16 December 2015

Apple Inc.

Apple Inc.


Sector:  Consumer Discretionary
Beta Coefficient: 0.84
10 Yr Compound EPS Growth:  70.5%
10 Yr Compound DPS Growth   NM
Dividend raises, past 10 years: 3 times.

Financial Result Year 2014

Revenues (b)    182.8
Net Income (b)     39.5
EPS  6.45
DPS 1.82
Cash flow per share 8.09
Current yield 1.5%

High Price  119.8  P/E 18.5    DY 1.52%
Low Price     70.5  P/E 10.9   DY 2.58%

The company designs, manufactures and markets personal computers, tablet computers, portable music players, cell phones and related software, peripherals, downloadable content and services.  

It added the digital watch to its portfolio in mid-2015.

It sells these products through its own retail stores, online stores, and third-party and value-added resellers.

The company sells digital content through its iTunes stores.

It has become a big player in the "digital wallet" mobile payment space, with its Apple Pay apps and network.  

The company is rumoured to be considering a move into the automobile business.

The company's products have become household names:  iPhone, iPod, iPad, MacBook, iTunes, QuickTime, OSX and iCloud.  

Steve Job, who passed away in October 2011,  was clearly the driving and leading force in Apple's innovation, style and success.

The current CEO is Tim Cook.

The company recently split its shares a massive seven for one, and has, in part due to shareholder activist pressures, stepped up its cash returns to shareholders.

It is rumoured the company is planning up to a cumulative $200 billion to be delivered in the form of dividends and share buybacks by the end of 2018.

Investors can expect dividend increases and especially share buybacks to continue large, with about 100 million shares retired each year on a 5.8 billion share base.

The company has already retired about 13% of its shares since FY 2012.

Apple's ability to generate income and now, to distribute it to shareholders is admirable.

Stock Performance Chart for Apple Inc.

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