What’s Next for Apple (AAPL) as it Forms a Key Resistance Level?

Apple Inc. (AAPL) designs a wide variety of consumer electronic devices, including smartphones (iPhone), tablets (iPad), PCs (Mac), smartwatches (Apple Watch), and TV boxes (Apple TV), among others. The iPhone makes up the majority of Apple’s total revenue….

Apple Inc. (AAPL) reported its latest earnings results after the market closed on Tuesday and crushed expectations. AAPL reported net sales of just over $84.3 billion, which was a 36% year-over-year improvement, driven by stronger product sales. This was especially true of its 5G-compatible iPhone 12 line.

AAPL has a current ratio of 1.1, based on its third quarter financial statements. This indicates the company has enough liquidity to handle short-term obligations. Growth is expected to continue with sales forecasted to rise 25.3% year over year in the quarter ending in September. Earnings are expected to rise 52% year over year in the same quarter.

The stock appears a bit overvalued with a trailing P/E of 28.32 and a forward P/E of 26.74, but these figures aren’t bad for a high growth technology company. The stock had been trending up this summer, but has shown mixed performance over the past couple weeks as shown in the chart below.

Take a look at the 1-year chart of AAPL below with added notations…

See chart and continue reading at STOCKNEWS.com