What is Apple PS Ratio?
The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. As of today, Apple's share price is $222.50. Apple's Revenue per Share for the trailing twelve months (TTM) ended in Jun. 2024 was $24.85. Hence, Apple's PS Ratio for today is 8.96.
Warning Sign:
Apple Inc stock PS Ratio (=8.96) is close to 10-year high of 9.28
The historical rank and industry rank for Apple's PS Ratio or its related term are showing as below:
AAPL' s PS Ratio Range Over the Past 10 Years
Min: 2.24 Med: 4.23 Max: 9.28
Current: 8.96
During the past 13 years, Apple's highest PS Ratio was 9.28. The lowest was 2.24. And the median was 4.23.
AAPL's PS Ratio is ranked worse than
93.26% of 2449 companies
in the Hardware industry
Industry Median: 1.42 vs AAPL: 8.96
Apple's Revenue per Sharefor the three months ended in Jun. 2024 was $5.59. Its Revenue per Share for the trailing twelve months (TTM) ended in Jun. 2024 was $24.85.
Warning Sign:
Apple Inc revenue growth has slowed down over the past 12 months.
During the past 12 months, the average Revenue per Share Growth Rate of Apple was 3.10% per year.During the past 3 years, the average Revenue per Share Growth Rate was 15.70% per year.During the past 5 years, the average Revenue per Share Growth Rate was 15.30% per year.During the past 10 years, the average Revenue per Share Growth Rate was 14.30% per year.
During the past 13 years, Apple's highest 3-Year average Revenue per Share Growth Rate was 51.80% per year. The lowest was -26.70% per year. And the median was 15.90% per year.
Back to Basics: PS Ratio
Apple PS Ratio Historical Data
The historical data trend for Apple's PS Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
* Premium members only.
Apple PS Ratio Chart
Apple Annual Data | ||||||||||||||||||||
Trend | Sep14 | Sep15 | Sep16 | Sep17 | Sep18 | Sep19 | Sep20 | Sep21 | Sep22 | Sep23 | ||||||||||
PS Ratio | Get a 7-Day Free Trial | 4.00 | 7.39 | 6.52 | 5.72 | 7.06 |
Apple Quarterly Data | ||||||||||||||||||||
Sep19 | Dec19 | Mar20 | Jun20 | Sep20 | Dec20 | Mar21 | Jun21 | Sep21 | Dec21 | Mar22 | Jun22 | Sep22 | Dec22 | Mar23 | Jun23 | Sep23 | Dec23 | Mar24 | Jun24 | |
PS Ratio | Get a 7-Day Free Trial | 8.05 | 7.06 | 7.84 | 7.02 | 8.48 |
Competitive Comparison of Apple's PS Ratio
For the Consumer Electronics subindustry, Apple's PS Ratio, along with its competitors' market caps and PS Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Apple's PS Ratio Distribution in the Hardware Industry
For the Hardware industry and Technology sector, Apple's PS Ratio distribution charts can be found below:
* The bar in red indicates where Apple's PS Ratio falls into.
Apple PS Ratio Calculation
The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. It is a ratio widely used to value stocks and it was first used by Ken Fisher.
Apple's PS Ratio for today is calculated as
PS Ratio | = | Share Price | / | Revenue per Share (TTM) |
= | 222.50 | / | 24.845 | |
= | 8.96 |
Apple's Share Price of today is $222.50.
Apple's Revenue per Share for the trailing twelve months (TTM) ended in Jun. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $24.85.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
It can also be calculated from the numbers for the whole company:
PS Ratio | = | Market Cap | / | Revenue |
The Revenue here is for the trailing 12 months.
Apple(NAS:AAPL) PS Ratio Explanation
The PS Ratio is an excellent valuation indicator if you want to compare a stock with its historical valuation or with the stocks in the same industry. The PS Ratio works especially well when you want to compare the stock's current valuation with its historical valuation. The PS Ratio is a great valuation tool for evaluating cyclical businesses where the PE Ratio works poorly. It works the best when comparing the current valuation with the historical valuation because over time, a company's profit margin tends to revert to the mean.
When the PS Ratio is applied to the whole stock market, it can be used to evaluate the current market valuation and projected returns. In this case, the price is the total market cap of all stocks that are traded, and sales are the GDP of the country. This is how Warren Buffett estimates the broad market valuation and project future returns.
Similar to the PE Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PS Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.
Be Aware
The PS Ratio does not tell you how cheap or expensive the stock is. It cannot be used to compare companies in different industries. It works better for companies within the same industry because these companies tend to have similar capital structures and profit margins. It works the best when comparing a company with itself in the past.
Apple PS Ratio Related Terms
Thank you for viewing the detailed overview of Apple's PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.
Apple Business Description
Industry
GURUFOCUS.COM »STOCK LIST »Technology » Hardware » Apple Inc (NAS:AAPL) » Definitions » PS Ratio
Comparable Companies
VZIO SONO WTO HEAR GPRO UEIC KOSS FEBO VOXX VUZI XKRX:005930 TSE:6758 HKSE:01810 TSE:6752 XKRX:066570 SZSE:002241 BOM:540699 XKRX:003550 SHSE:603296 TSE:6753
Traded in Other Exchanges
AAPL:Ukraine AAPL:Peru AAPL:Mexico 1AAPL:Italy APCd:UK 0R2V:UK APC8:Germany APC:Germany APC:Germany APC:Germany APC:Germany AAPL:Chile AAPL:Canada AAPL34:Brazil APC:Bulgaria AAPL:Austria AAPL:Argentina
Address
One Apple Park Way, Cupertino, CA, USA, 95014
Website
Apple is among the largest companies in the world, with a broad portfolio of hardware and software products targeted at consumers and businesses. Apple's iPhone makes up a majority of the firm sales, and Apple's other products like Mac, iPad, and Watch are designed around the iPhone as the focal point of an expansive software ecosystem. Apple has progressively worked to add new applications, like streaming video, subscription bundles, and augmented reality. The firm designs its own software and semiconductors while working with subcontractors like Foxconn and TSMC to build its products and chips. Slightly less than half of Apple's sales come directly through its flagship stores, with a majority of sales coming indirectly through partnerships and distribution.
Executives
Chris Kondo | officer: Principal Accounting Officer | 1 INFINITE LOOP, CUPERTINO CA 95014 |
Katherine L. Adams | officer: SVP, General Counsel | APPLE INC., 1 INFINITE LOOP, CUPERTINO CA 95014 |
Luca Maestri | officer: Senior Vice President, CFO | 1 INFINITE LOOP, CUPERTINO CA 95014 |
Jeffrey E Williams | officer: COO | ONE INFINITE LOOP, CUPERTINO CA 95014 |
Deirdre O'brien | officer: Senior Vice President | ONE APPLE PARK WAY, CUPERTINO CA 95014 |
Timothy D Cook | director, officer: Chief Executive Officer | C/O APPLE INC, ONE INFINITE LOOP, CUPERTINO CA 95014 |
Arthur D Levinson | director | C/O GENENTECH INC, 1 DNA WAY MS 49, SOUTH SAN FRANCISCO CA 94080-4990 |
Alex Gorsky | director | JOHNSON & JOHNSON, ONE JOHNSON & JOHNSON PLAZA, NEW BRUNSWICK NJ 08933 |
Monica C Lozano | director | |
Angela J Ahrendts | officer: Senior Vice President | 1 INFINITE LOOP, CUPERTINO CA 95014 |
Johny Srouji | officer: Senior Vice President | 1 INFINITE LOOP, CUPERTINO CA 95014 |
Craig Federighi | officer: Senior Vice President | 807 11TH AVENUE, SUNNYVALE CA 94089 |
Daniel J. Riccio | officer: Senior Vice President | 1 INFINITE LOOP, CUPERTINO CA 95014 |
Philip W Schiller | officer: Senior Vice President | C/O APPLE INC, ONE INFINITE LOOP, CUPERTINO CA 95014 |
Susan Wagner | director | C/O BLACKROCK, INC., 40 EAST 52ND STREET, NEW YORK NY 10022 |
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