{"id":282,"date":"2021-02-09T21:45:43","date_gmt":"2021-02-09T13:45:43","guid":{"rendered":"http:\/\/3.68.57.190\/?p=282"},"modified":"2025-09-29T17:25:36","modified_gmt":"2025-09-29T09:25:36","slug":"apple-stock-overvalued-options","status":"publish","type":"post","link":"https:\/\/www.slashtraders.com\/en\/blog\/apple-stock-overvalued-options\/","title":{"rendered":"How to Buy Apple Stocks at a Discount When AAPL Is Overvalued"},"content":{"rendered":"

Do you lament missing out on investing in Apple when the stock was cheaper?<\/p>\n\n\n\n

Do you wish you can go back in time to buy AAPL when it was undervalued?<\/p>\n\n\n\n

SlashTraders will show you a technique to buy Apple stocks at a discount, even when AAPL is overvalued.<\/p>\n\n\n<\/p>\n\n\n\n

Why Do You Want to Invest in Apple Stocks?<\/h2>\n\n\n\n

Let's face it, so many people own iPhones now that there's no question which is the top-selling flagship smartphone brand.<\/p>\n\n\n\n

The market share of iPhones and Apple products and the association of Apple products with celebrities and influencers are huge competitive advantages, or the moat, of Apple that other competitors struggle to compete with.<\/p>\n\n\n\n

Apple has as wide and as deep a castle moat as other FAANG stocks, such as Facebook, Google, Netflix and Amazon, and is one of the most active options<\/a> around.<\/p>\n\n\n<\/p>\n\n\n\n

\"apple
The popularity of iPhones and the Apple brand make Apple extremely competitive.<\/figcaption><\/figure>\n\n\n

<\/p>\n\n\n\n

In short, Apple is a healthy and profitable company that has a very low risk of bankruptcy, and Apple's market capitalisation shall continue to increase in value in the near future. Similar to TSMC and S&P 500 index ETF, SPY, AAPL is a great stock to invest in long term<\/a>.<\/p>\n\n\n\n

Recent Price Trend of AAPL<\/h2>\n\n\n\n

Since we want to hold on to value stocks<\/a> for the long term, we want to analyse recent trends of AAPL to look for patterns in price changes.<\/p>\n\n\n\n

We can tell from the AAPL chart in the last year, that 50-day, 100-day, 150-day and 200-day moving averages are all trending upwards. Even when Apple stock price fell a great deal<\/a> around March 2020, the price recovered very quickly to the normal upward trajectory.<\/p>\n\n\n<\/p>\n\n\n\n

\"aapl
All the moving averages of the recent AAPL price chart are trending upwards.<\/figcaption><\/figure>\n\n\n

<\/p>\n\n\n\n

Even when the stock price fluctuated, AAPL would rebound<\/a> after touching the 100-day moving average, so we can deduce the investors in general like to set stop losses around the 100-day moving average.<\/p>\n\n\n\n

\"Apple
Apple stock price usually rebounds after touching the 100-day moving average.<\/figcaption><\/figure>\n\n\n\n

So we can be confident in the operation and financial strengths of Apple to invest in it for a long time.<\/p>\n\n\n\n

\"blog<\/a><\/figure>\n\n\n\n

How Much Is AAPL Worth?<\/h2>\n\n\n\n

Based on the Trefis estimates<\/a> within TD Ameritrade's<\/a> Analyze tab, we can see Apple's stock price's fair value is $99.92, much less than the $130 market price.<\/p>\n\n\n\n

The analysis<\/a> of AAPL is as follows:<\/p>\n\n\n\n