How to Buy Apple Stock
Update On Apple's Stock Price
8/1/2018 Update - In early morning trading today, Apple stock hit $200 (an all time high) after an earnings announcement yesterday that investors loved. Most important was the guidance for next quarter that Apple gave which was above analyst's estimates. The stock market is always extremely interested in future guidance because investors want to invest in stocks/companies that will do well in the future.
Multiple analysts have upped their Apple stock price targets this morning which is helping buoy the stock as well. Here is a look at all the impressive numbers announced yesterday for the just completed quarter:
Apple has an exciting end of 2018 planned as strong rumors point to 3 new iPhone models, a new Apple Watch with a bigger screen, and new iPads with Face ID. There could also be a new MacBook Air or something to take its place in the laptop lineup. No substantial rumors about the HomePod but there could be something announced on that front as well. IOS 12 should be released in September which will add new functionality to all your old Apple mobile devices.
All in all, this could/should be another blowout holiday quarter coming up which will help the stock price. The next earnings report should come in late October or early November 2018 and and as always, could move the stock significantly in either direction.
Are You Thinking About Investing in Apple?
Apple gets more press coverage than any company in the world. No matter where you look, you will find opinions on how the company is doing and whether their stock is a "buy" or a "sell."
The stock now sells for about $200 after splitting a couple years ago, which means the price is more accessible to many individual investors. People who never could afford to buy the stock when it was priced $500 to $700 per share years ago and may now be able and willing to add it to their portfolio.
Anyone thinking of buying Apple stock needs to be aware that a strong stomach is sometimes needed. Even though they are very strong financially as a company and have one of the most well known brands in the world, the stock seems to go through wild gyrations at times.
Will You Buy Apple Stock Now That It Has Split?
You Need An Online Broker
Before you can buy any stock, you need to open an online discount broker account. It sounds hard but it really isn't and you can do it in less than an hour. First though, you need to choose one and here is a short list of some of the reliable ones.
1) Ally Invest - One of the cheapest at $4.95 per trade
3) Merrill Edge
Any of those brokers are trustworthy and have been around for years. Your money will be safe with all of them and I highly recommend Ally Invest with its cheap fees for investors of any experience level. Its a good broker to get started with because there is no minimum amount requirement to get started like some other brokers.
No matter which online broker you ultimately choose, you will have to fill out some personal information and then put money in your new account. That can be done by wiring money, sending a check, or doing an electronic transfer from your bank to your new account. ***Don't forget to do this as you can't get started buying stocks until you fund your account!***
How To Buy Stock
Once you have money in your stock broker account, you can then buy any stock that is listed on the NASDAQ and New York Stock Exchange right from your home computer. Additionally, you can now do it with most brokers right through their mobile app as well.
Apple stock now sells for around $200 and buying 1 share, 50 shares, or 100 shares will cost you the same in trading fees. Most brokers on the list above charge between $5 to $10 per trade. That means you will pay that fee when you buy your stock shares and pay that same fee a second time when you sell your shares (whenever that is).
When you complete your purchase, you will get a confirmation that the "buy" has gone through and then you will see those shares in your account. Every trading day, those shares will go up and down and your account will as well. Obviously, the hope is that Apple stock will go up after you purchase it and your account balance will go up by the same amount.
Is Apple Stock A Good Buy Right Now?
There are always many opposing views about this:
Although it has been many years since Steve Jobs died, some people in the media still cling to the notion that the companies innovation died with him. They fear all Apple is doing is pushing out updated models of existing products and adding size options. They also fear the intensely competitive world of mobile phones will prevent Apple from making money years from now. They also cite the fact that Apple has a small market share compared to Samsung and that the Android platform is free, which allows other phone companies to more easily compete. There are also those that believe the Apple Watch was a failure even though the evidence proves otherwise. Now people are saying the HomePod is a big failure.
On the other hand, some say that Apple has used the last handful of years to perfectly set up their long term plans. Now they have three new phones to sell in 2018 (iPhone 8, iPhone 8 Plus, iPhone X) as well past models iPhone 6, 6+, 7, 7+, and SE. In September we will see how they cut that lineup into fewer models that effectively target different price points.
The companeny continues to push its expansion into China and India which should provide benefits for years to come, and the iPhone has proven to be extremely popular in the higher-end markets, even in China. Despite Apple's smaller market share, it continues to dominate in profits which is what being in business is all about: making money.
There is always the opinion perpetuated by the media and Apple detractors that Apple has run out of new products and new ideas. Apple stock suffers time to time because of those rumors but the stock seems to be trading in a more positive fashion for most of the last year. It must be noted that there is no guarantee when you buy any stock (including AAPL) that it will go up and you should always be prepared to accept losses, if they come, as well as gains.