“Apple (AAPL) looks cheap from nearly every angle. At 13.5 times trailing earnings, Apple hasn’t been this inexpensive in at least a decade,” Richard Moroney writes for The Stock Advisors.
“The shares are trading 48% below their five-year average P/E ratio,” Moroney writes. “Shares also trade below five-year averages for price/sales (17% discount), enterprise ratio (34%), price/operating cash flow (62%), and price/book value (29%).”
Moroney writes, “The company has grown sales more than 30% in 10 straight quarters, and cash from operations rose 47% or more in each of the last eight quarters. Apple, notoriously tight with its money, holds more than $81 billion in net cash and marketable securities, or nearly $87 per share. We recommend that investors scoop up its shares on the cheap. Apple is a Focus List Buy.”
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