Apple Inc. (AAPL) is a global technology company known for its hardware and software innovations, including iconic products such as the iPhone, MacBook, and iPad.

Founded in 1976 by Steve Jobs, Steve Wozniak, and Ronald Wayne, Apple has become one of the largest companies in the world by market capitalization.

The company’s market capitalization has reached over $2,000,000,000,000 in recent years, indicating its dominant position in the global market.

Basically, Apple’s stable stock performance and consistent growth have attracted the attention of investors worldwide.

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What Is Apple Stock?

Currently, Apple stock is often considered as one of the investment opportunities that can bring wealth in a short time. It is said that when it was first listed on the stock exchange, Apple Inc. managed to create 300 new billionaires.

Now, Apple stock has become part of the FAANG group, which is a group of the most valuable technology stocks on the United States stock market, along with Meta Platforms, Amazon.com, Netflix, and Alphabet, the parent of Google.

For information, Apple Inc. is listed on the Nasdaq stock market with the ticker code AAPL so that investors can buy and sell its shares on the open market.

AAPL stock itself is one of the most traded stocks in the world, with many investors interested because of Apple’s reputation as a leader in technology and innovation.

Also Read: FAANG Stocks: Smart Strategy for Beginner Investors

History of Apple Company

Apple was founded in 1976 by Steve Jobs, Steve Wozniak, and Ronald Wayne. Initially, the company focused on making personal computers, with their first product, the Apple 1, designed by Wozniak.

Apple’s journey began with a vision to change the way people interact with technology, which then continued with the launch of other revolutionary products, such as the Apple II and Macintosh.

Over time, Apple underwent a major transformation from just a computer company to a global leader in technological innovation.

The decision to introduce products such as the iPod, iPhone, and iPad took Apple out of the personal computer market and established its position as a pioneer in the world of mobile devices, hardware, software, and digital services.

Under the leadership of Steve Jobs, Apple succeeded in creating an integrated technology ecosystem with elegant design and high functionality.

This made it a widely recognized brand throughout the world and earned it the status of one of the most valuable companies in the world.

Why is Apple Stock Popular?

Apple stock itself is popular thanks to its reputation as one of the most valuable companies in the world that continues to innovate.

The success of iconic products, such as the iPhone, iPad, and MacBook demonstrate Apple’s ability to lead the market and meet consumer needs.

In addition, Apple’s interconnected product ecosystem provides a seamless user experience and drives high customer loyalty.

These factors, coupled with stable growth prospects, make Apple stock an attractive choice for investors around the world.

Apple Inc. Financial Performance

Since its IPO (Initial Public Offering) in 1980, Apple’s stock has experienced significant fluctuations. Some important moments that have recorded Apple’s stock history include:

In January 2007, the launch of the first iPhone caused the stock price to soar sharply, which then increased tenfold between 2007 and the end of 2011.

In August 2018, Apple managed to become the first company to reach a valuation of $1,000,000,000,000, with a stock price listed at $207.05.
Then, in August 2020, Apple conducted a 4-for-1 stock split, making the stock more affordable for investors.

Apple continues to show solid financial performance. In 2021, the company’s revenue reached $365.8 billion with a net profit of $94.7 billion.

This achievement was driven primarily by iPhone sales, which accounted for about 50% of the company’s total revenue, as well as sales of other products and services.

In recent years, Apple has also increasingly focused on revenue from the services sector, which includes iCloud, Apple Music, Apple Pay, and Apple Arcade.

Revenue from this services sector has recorded rapid growth, reaching more than $50 billion in 2021, indicating great potential for the company in the future.

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Supporting Factors for Apple Stock as an Investment

Apple stock is attractive to investors due to various supporting factors. Here are the main factors that make Apple stock a solid investment choice.

1. Continuous Innovation

Apple is known for its ability to introduce revolutionary products that change the market. iPhone, MacBook, Apple Watch, and AirPods are some examples of products that have successfully created trends in the technology industry.

In addition to hardware, Apple has also diversified by launching services such as iCloud, Apple Music, and Apple TV+.

This has further expanded the company’s revenue base and reduced dependence on hardware sales alone.

2. Loyal Customer Base

Apple’s perfectly integrated product ecosystem creates high customer loyalty.

Apple product users often remain loyal because of the consistent user experience and ease of switching between devices, such as iPhone, iPad, and MacBook.

This loyalty contributes to sales stability and increases the potential for recurring revenue through new product purchases and service subscriptions.

3. Stock Split Strategy

It is worth remembering that Apple does stock splits to make the stock price more affordable for investors.

For example, in 2020, Apple implemented a 4-for-1 stock split that reduced the price per share so that more investors could participate in Apple stock ownership.

4. Dominance in the Global Market

Apple has also succeeded in penetrating markets in various parts of the world, including the United States, Europe, and Asia.

With the rapid growth of the global technology market, Apple can take advantage of the growing demand in the hardware and services sectors.

Apple’s dominance in the global market further strengthens the company’s financial performance and position in facing competition.

Apple Stock Price Analysis

From the beginning, Apple has realized the great potential of the technology industry in the future. That is why the company decided to go public on the Nasdaq stock exchange on December 12, 1980 with the code AAPL.

At the time of the IPO, AAPL shares were priced at $22 per share and managed to raise $4,600,000 from its initial offering. As it turned out, the company’s predictions proved accurate.

Just one day after being listed on the Nasdaq, AAPL’s stock price jumped 32% to $29 per share, bringing the company’s valuation to $1.77 billion at that time.

However, Apple’s stock journey was not always smooth, especially in the 1990s. The stock price had fallen by 60% between 1987 and 1997. Fortunately, Apple’s stock began to rise after Steve Jobs returned to the company in the late 1990s.

Jobs’ success in bringing Apple to a profit of $309,000,000 in his first year of leadership was an important factor.

In addition, the dot-com boom phenomenon also boosted the company’s stock performance, which skyrocketed 212% in 1998 and 115% in 1999.

However, Apple’s stock plunged again in the early 2000s due to the bursting of the dot-com bubble, even falling to $6.56 per share in April 2003.

However, Apple’s stock price began to recover and reached $199 per share in 2007 thanks to the huge success of product sales. Furthermore, Apple’s continued innovations, such as the launch of the latest iPad, iPhone, and MacBook, made the stock price continue to rise.

In July 2011, AAPL shares reached $400 per share even though two years earlier they had plunged to $78 per share due to the subprime mortgage crisis in the US.

Strong performance and increasing sales made Apple’s stock continue to soar. In 2022, thanks to its rising stock value, Apple became the only US company with a market capitalization of nearly $3,000,000,000,000.

Also Read: Top 7 American Blue Chip Stocks with the Biggest Dividends

Advantages and Disadvantages of Investing in Apple Stocks

Investing in Apple stocks basically offers various advantages, but also has some risks that need to be considered. Here are some advantages and disadvantages that can affect investment decisions in AAPL stocks.

Advantages

AAPL stock prices tend to be stable and continue to show consistent growth thanks to the company’s solid performance and market leader in the technology sector.

Apple is known for its continuous innovation in its products and has a very loyal customer base, which supports stable sales and revenue.

Disadvantages

Most of Apple’s revenue comes from iPhone sales, so the company is at risk if there is a decrease in demand for this product.
Apple faces stiff competition in the technology sector, especially from large companies that also innovate and offer similar products.

Conclusion

Well, that was an interesting discussion about Apple Stocks: Great Potential in the Future that you can read in full at the Crypto Academy at INDODAX Academy.

In conclusion, Apple stock is considered a valuable asset thanks to its price stability, consistent growth, and continuous innovation driven by a large customer base.

Despite its great strength in the technology market, it is important to consider the company’s dependence on certain products and increasingly fierce competition.

Therefore, before investing, it is very important to do in-depth research to understand the potential and risks associated with AAPL stocks.

As the latest news, INDODAX will soon introduce a new investment option that allows its users to invest in stocks listed in the United States (US).

Through this feature, you can expand your investment portfolio by not only focusing on crypto assets, but also more than 50 US stocks, all accessible in one integrated account on the INDODAX platform.

To start investing in US stocks, visit the “US Stocks” menu on the official INDODAX website and select “Explore Now” to continue the verification process and get more information about the available stocks.

 

FAQ Apple Stock (AAPL) 

1.What is Apple (AAPL) stock?

Apple (AAPL) stock is a share of Apple Inc., which is traded on the Nasdaq stock exchange. By purchasing this stock, investors own a small portion of the world’s technology giant.

2.What makes Apple stock attractive to investors?

Apple stock is attractive because of its stable performance, continuous innovation, loyal customer base, and strategies such as stock splits, which keep the stock price affordable.

3.How to buy Apple stock in Indonesia?

You can buy Apple stock through investment platforms such as Pluang or Nanovest, which provide easy access to the American stock market with simple guidance.

4. Is Apple stock suitable for long-term investment?

Yes, Apple stock is often considered suitable for long-term investment due to its stable performance track record, product innovation, and reputation as a high-value company.

5.What are the main risks of investing in Apple stock?

The main risks include dependence on sales of products such as the iPhone and the potential impact of intense competition in the technology sector. Portfolio diversification is still recommended.