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Apple (NAS:AAPL) PS Ratio

: 7.10 (As of Today)
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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 $171.18. Apple's Revenue per Share for the trailing twelve months (TTM) ended in Jun. 2023 was $24.10. Hence, Apple's PS Ratio for today is 7.10.

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: 2.19   Med: 3.74   Max: 8.44
Current: 7.1

During the past 13 years, Apple's highest PS Ratio was 8.44. The lowest was 2.19. And the median was 3.74.

AAPL's PS Ratio is ranked worse than
89.22% of 2449 companies
in the Hardware industry
Industry Median: 1.43 vs AAPL: 7.10

Apple's Revenue per Sharefor the three months ended in Jun. 2023 was $5.19. Its Revenue per Share for the trailing twelve months (TTM) ended in Jun. 2023 was $24.10.

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 2.40% per year. During the past 3 years, the average Revenue per Share Growth Rate was 20.00% per year. During the past 5 years, the average Revenue per Share Growth Rate was 17.20% per year. During the past 10 years, the average Revenue per Share Growth Rate was 14.60% 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 16.70% 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 Annual Data
Trend Sep13 Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22
PS Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.25 4.00 7.39 6.52 5.72

Apple Quarterly Data
Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23
PS Ratio Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.81 5.72 5.42 6.87 8.05

Competitive Comparison

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 PS Ratio Distribution

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 in comparison to its industry or sector. The grey bar indicates the PS Ratio's extreme value range as defined by GuruFocus.



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)
=171.18/24.104
=7.10

Apple's Share Price of today is $171.18.
Apple's Revenue per Share for the trailing twelve months (TTM) ended in Jun. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $24.10.

* 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 (NAS:AAPL) Business Description

Apple logo
Address
One Apple Park Way, Cupertino, CA, USA, 95014
Apple designs a wide variety of consumer electronic devices, including smartphones (iPhone), tablets (iPad), PCs (Mac), smartwatches (Apple Watch), and AirPods, among others. In addition, Apple offers its customers a variety of services such as Apple Music, iCloud, Apple Care, Apple TV+, Apple Arcade, Apple Fitness, Apple Card, and Apple Pay, among others. Apple's products include internally developed software and semiconductors, and the firm is well known for its integration of hardware, software, semiconductors, and services. Apple's products are distributed online as well as through company-owned stores and third-party retailers.
Executives
Alex Gorsky director JOHNSON & JOHNSON, ONE JOHNSON & JOHNSON PLAZA, NEW BRUNSWICK NJ 08933
Monica C Lozano director
Deirdre O'brien officer: Senior Vice President ONE APPLE PARK WAY, CUPERTINO CA 95014
Robert A Iger director C/O WALT DISNEY CO, 500 S BUENA VISTA STREET, BURBANK CA 91521-1062
Andrea Jung director C/O APPLE INC, ONE APPLE PARK WAY, CUPERTINO CA 95014
Susan Wagner director C/O BLACKROCK, INC., 40 EAST 52ND STREET, NEW YORK NY 10022
James A Bell director C/O THE DOW CHEMICAL COMPANY, 2211 H.H. DOW WAY, MIDLAND MI 48674
Albert Jr Gore director C/O APPLE INC, 1 INFINITE LOOP, CUPERTINO CA 95014
Ronald D Sugar director 10877 WILSHIRE BLVD., SUITE 1650, LOS ANGELES CA 900274
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
Angela J Ahrendts officer: Senior Vice President 1 INFINITE LOOP, CUPERTINO CA 95014
Jeffrey E Williams officer: COO ONE INFINITE LOOP, CUPERTINO CA 95014
Philip W Schiller officer: Senior Vice President C/O APPLE INC, ONE INFINITE LOOP, CUPERTINO CA 95014
Eduardo H Cue officer: Senior Vice President 1 INFINITE LOOP, CUPERTINO CA 95014