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Is Apple Inc. (AAPL) Undervalued? Valuation & Fair Price

At $332.27, 4 of the 4 frameworks would pass on Apple Inc. today — Warren Buffett, Benjamin Graham, Peter Lynch, and Phil Town (Rule #1) rate it Avoid. Each model calculates its own fair value and margin of safety; create a free account to see the exact buy price behind every verdict.

AA

Apple Inc.

AAPL

Technology · Consumer Electronics · NASDAQ

$332.27

P/E 40.2×

CEO

Timothy D. Cook

Sector

Technology

Industry

Consumer Electronics

Apple Inc. is a global technology corporation that specializes in the conceptualization, production, and sale of a diverse suite of electronic devices. Its comprehensive hardware lineup features the well-known iPhone smartphones, Mac personal computers, and versatile iPad tablets. The company also supplies a range of wearables, smart home products, and accessories, including AirPods, Apple TV, Apple Watch, items from the Beats brand, and HomePod speakers. Beyond its device offerings, Apple delivers essential support services like AppleCare and robust cloud solutions. It oversees key digital platforms, prominently the App Store, which acts as a central hub for customers to discover and download countless applications and digital content, from e-books and music to videos, games, and podcasts. The company also generates revenue via advertising, leveraging both its proprietary ad platforms and third-party licensing deals. Apple's ecosystem is further bolstered by a wide array of subscription-based services: Apple Arcade for gaming, Apple Fitness+ for personalized wellness, Apple Music for curated audio experiences and on-demand radio, Apple News+ for access to news and magazines, and Apple TV+ for exclusive original video programming. Its financial services portfolio includes the co-branded Apple Card and the mobile payment system, Apple Pay. Additionally, Apple strategically licenses its intellectual property. The company serves a broad clientele that spans individual consumers, small and medium-sized enterprises, as well as institutional clients in the education, corporate, and governmental sectors. Products are distributed through a multi-channel strategy, utilizing Apple's own physical retail locations and online storefronts, a dedicated direct sales team, and collaborations with external partners such as mobile network providers, wholesalers, general retailers, and authorized resellers. The App Store additionally functions as the primary conduit for third-party applications designed for its devices. Founded in 1976, Apple Inc. is headquartered in Cupertino, California.

The Value RailOvervalued· -83% downside
0 of 4 fair values are above today's price of $332.
$29
$49
$53
$97
← Lower priceHigher price →
BuffettGrahamLynchPhil Town

Investor scorecard

How the four investors rate Apple Inc.

4 of 4 frameworks urge caution

Warren Buffett
72%Avoid
Benjamin Graham
29%Avoid
Peter Lynch
50%Avoid
Phil Town (Rule #1)
55%Avoid

Investor model analysis

At $332.27, 4 of 4 frameworks say Avoid

Business Quality52/100

Investor Valuation

Intrinsic Value (DCF)

Warren Buffett's valuation model · select an investor above to switch

Decent fundamentals but some concerns. Investigate the failing criteria.

Intrinsic Value (DCF)

Intrinsic Value (DCF): locked — create a free account to view

Buy Below

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Strong Buy Below

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Margin of Safety

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Insider & congress activity

Are insiders buying AAPL?

Over recent SEC Form 4 filings, AAPL insiders bought $0 and sold $116.0M of stock across 24 open-market trades. Insiders sell for many reasons, but they buy for one.

Bought $0Sold $116.0M
Recent open-market insider trades for AAPL
InsiderActionSharesValueDate
Newstead JenniferSVP, GC and Government AffairsSell1,438$456KSep 8, 2026
Newstead JenniferSVP, GC and Government AffairsSell1,439$456KSep 1, 2026
Newstead JenniferSVP, GC and SecretarySell1,439$447KAug 25, 2026
Newstead JenniferSVP, GC and SecretarySell1,439$442KAug 18, 2026
Newstead JenniferSVP, GC and SecretarySell1,439$443KAug 11, 2026

Members of Congress have also reported 50 trades in AAPL. See the full insider & congress timeline.

Source: SEC Form 4 filings. Open-market buys & sells only. Not investment advice.

See the interactive insider chart & every trade

Market expectations

What the market is pricing in

The yearly growth rate today's price already assumes — and what that means for a buyer

/yr

Implied FCF growth

High expectations, high risk

The market expects near-perfect execution

What this means for you

The price assumes almost everything goes right — little cushion if Apple Inc. stumbles.

This is the yearly growth today's price already assumes if it holds for 10 years, then levels off to a steady 3% — the standard long-term DCF horizon.

The exact growth bar for Apple Inc. — and how it compares to history — is locked.

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Scenario analysis

Bear, base & bull

Three growth assumptions, three fair values — and where today's price lands

Checklist highlights

Buffett model checklist

Top criteria from the Buffett analysis — select an investor below for all models

Return on Equity

ROE measures how efficiently the company uses shareholder equity. Buffett looks for consistent ROE above 15%, indicating a durable competitive advantage.

ROE Consistency

Consistent high ROE over many years suggests a durable moat. Buffett demands durability — at most one weak year is acceptable.

ROE Quality (Low Leverage)

Buffett prefers high ROE generated by business quality, not financial leverage.

Debt Levels

Buffett prefers companies that could pay off all debt within 3-4 years of free cash flow. Uses 3-year average FCF to smooth one-off fluctuations.

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Sell signals & exit criteria

Know when to exit — sell triggers tracked across all 4 models

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Company financials

5-Year Financials

Income statement highlights — annual, USD

Metric20252024202320222021
Revenue$416.2B
$391.0B
$383.3B
$394.3B
$365.8B
Rev. Growth+6.4%+2.0%-2.8%+7.8%
Net Income$112.0B$93.7B$97.0B$99.8B$94.7B
Net Margin26.9%24.0%25.3%25.3%25.9%
EPS (Diluted)$7.49$6.11$6.16$6.15$5.67
Free Cash FlowLocked — upgrade to viewLocked — upgrade to viewLocked — upgrade to viewLocked — upgrade to viewLocked — upgrade to view

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Educational Use Only · Not Financial Advice

Analysis, scores, valuations, and buy zones are derived from publicly documented investor frameworks (Buffett, Lynch, Benjamin Graham, Phil Town) for learning purposes only. They are not recommendations from licensed financial advisors. Past performance does not guarantee future results. Prices may be delayed up to 15 minutes. Always conduct your own research before making any investment decisions.