Technical and fundamental analysis for Appe Inc Essay

skillful and fundamental epitome for Appe Inc - Essay Example16 1. Introduction Apple Incorporation is believed to be one of the most leading(p) and most researched investment trusts, which is traded in different melodic line exchanges. Technical and fundamentals of stocks such as Apple, Google etc. are much commonly studied and researched by number of different financial researchers and analysts Grady (2008). The paper is found on analyzing the stock of the Apple inc., from both technical and fundamental perspective. As the current situation identifies that there is grand debate whether the apple can sustain its current market share in the market in terms of its tablets and Smartphone or not? Moreover, Apple is issuing more debt to repurchase shares from the market, the impact of debt increase go forth make investors demand higher rate of return on their investments and this coupled with low cash flows definitely reduces the built-in comfort of Apples share price. Apple is expected to continue to issue more debt. Despite of all the expectations, what is the outcome for the investors of Apple stock (AAPL.O). The purpose of the paper is to tumble apple stock in terms of investment perspective, whether its a good buy or sell. The first contribution of the paper is based on the technical analysis. ... at that placefore, the stock of apple is examine technically by evaluating its trends, which refers to the early(prenominal) data analysis, moving averages, moving average convergence and divergence and relative strength index. The idea back using different method for evaluating the same stock under technical analysis is that the stocks analysis and its movement can be confirmed from different angles. The second section of the report is based on the fundamental analysis of the Apple Stock (AAPL.O). The fundamental analysis is concerned with calculating the intrinsic value of the firm using its financials. The stock is evaluated in terms of its rati os, which are derived from the financial statement of the firm. The stock evaluation of Apple incorporation is conducted using different fundamental research model. Stock is initially analyzed using the graham Valuation Screen, in terms of value investors. The Dividend Discount Model , which calculates the intrinsic value in terms of dividends. As the stock evaluation is conducted in terms of value investors, therefore the Graham Valuation Model is more appropriate as compared to methods such as GARP. 2. Technical Analysis Technical analysis is based on the evaluation of the stock in terms of historical data and its movements. There are different methods adopted to conduct technical analysis of the stock of Apple Incorporation to analyze the stock price movement more effectively. Technical analysis can be used in two different ways a) prognosticative Technical Analysis b) Reactive Technical Analysis 1) Predictive Technical Analysis The Analyst use the analysis to project the price of the stock based on its past movements. The analysts make money by selling their projections to investors. 2) Reactive Technical