Financial ratio analysis of apple inc

Apple Annual Report, The above graph shows the performance of the share of the company over the last few years. In yearthe Apple was losing its market to strong competitors especially Samsung and was the revenues were decreasing from its main markets of America and Europe. Here too Apple outperformed the market.

Financial ratio analysis of apple inc

The price to earnings ratio (PE Ratio) is the measure of the share price relative to the annual net income earned by the firm per share. PE ratio shows current investor demand for a company share. A high PE ratio generally indicates increased demand because investors anticipate earnings growth in the future. Using earnings for its most recent fiscal year, from Sept. 27, to Sept. 26, , Apple's price-to-earnings (P/E) ratio was a modest , which is much lower than that of its peers and the industry average. On one hand, the market is content with the rate of Apple stock's gain over time as supported by earnings growth. Financial reporting quality relates to the accuracy with which Apple Inc.'s reported financial statements reflect its operating performance and to their usefulness for forecasting future cash flows. Aggregate accruals deriving measures of the accrual component of Apple Inc.'s earnings.

Get Full Essay Get access to this section to get all help you need with your essay and educational issues. Oa number of inferences can be drawn.

Financial Analysis: Apple Inc by Jesse Miller on Prezi

The firm is operating profitably as the profitability ratios surpass the industrial average and the trend is increasing. The company is financially stable owing to its high current, quick and debt ratios as compared to industrial average.

On the other hand it is effectively utilizing its assets to generate sales revenue.


It has high inventory and accounts receivable turnovers compared to those of the industrial average. They also need to invest in projects that generate positive net present values for the benefit of the shareholders and remain competitive in the market.

The company was incorporated in California in and became a public company in through initial public offer.

Company Background

They Manufacture, markets develops and designs personal computers, related software, computer peripherals, digital music players, services computers and offers networking. They also deal in the manufacture, development, design and market digital music players and related accessories they also assist other companies in the distribution of music, audio books, music videos television shows and games.

The company manufactures and sells her products worldwide with marketing segments in various continents. The company has a variety of customers ranging from governments, education institutions, final consumers, business, non-governmental organizations, professionals and research centre for her products and services.

Apple Company remains the only company with control of her designs and development of a personal computer from hardware, software and applications in the industry in the United States.

Financial ratio analysis of apple inc

Ratio analysis is as follows.Purpose of Assignment. Students should understand how to use the financial information and tools learned in the class on a public company, obtain public company SEC reports, and use that data to calculate a company’s financial ratios and their comparison to industry or competitor standards.

Financial analysis of Apple inc Essay – Free Papers and Essays Examples

Essay on Financial Analysis Of Apple, Inc. - Company Background Apple, Inc. (formerly known as Apple Computer, Inc.) was incorporated in the State of California in Apple currently designs, manufactures, and markets a variety of computer and personal electronic products, including Macintosh computers, and the iPod digital music player.

2 Apple Inc.

Financial ratio analysis of apple inc

Financial Analysis, March Industry Analysis Porters Five Forces Analysis Using Porters Five Forces framework to analyse the level of competition within the electronics industry, it is clear that Apple are market leaders in an evolving, fast‐ paced environment.

SAMSUNG ELECTRONICS AND APPLE, INC.: A STUDY IN CONTRAST IN COMPETITIVE ANALYSIS IN 21ST CENTURY Rawal Rasheed, Raheel Nawaz, Yasir Abbas This study contains the financial analysis of the Vertical, DuPont, ratios analysis INTRODUCTION.

Apple, Inc: Stock price analysisSelect a publicly traded U.S. company that has paid a dividend for at least the last three years, and conduct a financial ratio analysis.

The DuPont analysis is a way of decomposing and examining the financial ratio return on equity (ROE). ROE looks at how much a company earned in the previous period compared with the total amount of owners’ equity invested in the business.

Ratio Analysis of Apple | Essay Example