Chart of the day: Apple multiples from 2008 to today

Apple’s P/E ratio is holding up better now than it did in 2013, says JP Morgan’s Samik Chatterjee.

From a note to clients that landed on my desktop Sunday:

Most companies are trading above (or well above) their prior troughs, except for COMM, FFIV, JNPR, ST, and VIAV.

Stocks trading at or near trough valuations have already bounced from the absolute trough valuations that they were trading at around mid to late March…

Valuation multiples for AAPL are holding up much better than in prior troughs in 2013, likely on expectations of high resilience to the volume downturn both through product leadership and services momentum.

Maintains Overweight rating and $350 price target. 

My take: Get a load of 2008-2009.


  1. Jonny Tilney said:
    In the iPad era I was told buy at 30 and sell at 40 P/E.

    I have never had a good answer from anyone as to why Apple’s P/E languished as it did after the financial crisis.

    April 5, 2020
  2. David Drinkwater said:
    Unfortunately, this article just makes me want to kick myself again. I felt like we were getting too hot at a P/E ratio of 25. I know Apple is worth more and AAPL should be worth more, but it’s like with real estate: “The fair market value is the price at which the property would change hands between a willing buyer and a willing seller”.

    Sometimes, it is beneficial to trust the cynic, not the “happy, happy: joy, joy:.

    Or more to the point with Warren Buffet: “Be Fearful When Others Are Greedy and Greedy When Others Are Fearful”

    April 5, 2020

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