Why does Wall Street hate Apple (AAPL)?

By Alvin Alexander. Last updated: June 4, 2016

Why does the stock market hate Apple? Check out these numbers, where P/E means “price to earnings”, and EPS means “earnings per share”. When a P/E ratio is high, it means Wall Street loves you for one reason or another, and when EPS is high, it means you’re making a lot of money (or at least a lot of money per share):

            P/E    EPS
           -----  -----
Google      25.6   34.6
Dell        18.0    0.8
Microsoft   13.0    2.6 
Apple       12.1   40.1
Amazon       NaN   -0.2   # "p/e" is NaN because eps is negative

I can see how Google would be valued in a similar way to Apple, but their P/E is more than twice that of Apple. And Dell, which is going bankrupt and being bought out by private investors? Microsoft, really? Amazon, which is basically a non-profit?

Wow. Someone at Apple must have really done something to piss off Wall Street. I guess they make too much money?

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