According to Satori Fund founder and portfolio manager Dan Niles, Apple Inc. are up about 14 percent YTD, but the stock may be overvalued.
“If you look at it in terms of how much they grow in relation to the multitude, it just doesn’t make any sense,” Niles told CNBC on Thursday.
Niles says Apple is the most overpriced tech stock in existence: “In terms of big-cap tech, that’s clearly on my mind.”
Apple’s revenue has grown by about 11 percent over the past five years, Niles said. Microsoft Corp. grew by about 15 percent over the same time period, while Alphabet Inc. is up 23 percent, Netflix is up 27 percent, Amazon.com Inc. grew 28 percent, and Meta Platforms Inc. the rate is 34 percent, he said.
“You can buy both Facebook and Google for a lower price than Apple,” Niles said.
Apple is also a beneficiary of the pandemic. He noted that iPhone, iPad and Mac sales were down from last year before the pandemic.
“We really like Facebook, we really like Google. They grow two to three times faster and you can buy them at a lower price with a higher growth rate, ”Niles told CNBC.
Apple traded from $ 157.26 to $ 108.73 over a 52-week period.
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