Tonight, I'm going to talk about the Apple stock.
And I'm going to show you what I think is a bubble.
Look at the chart below.

In mid 2018, the Apple stock was trading between 190 and 200$ per share. Since there has been a split, it is the equivalent of 48$ per share. Now the stock is trading at 132$ per share.
aa1234779, humbert and Maher must be thinking that it's because Apple is making large profits and it's probably true. And yet, since 2018, revenues, as well as profits, are stagnating.
In fact, the price earnings ratio has been multiplied by 2.8.

As you can see below, Apple’s stock price appreciated at a much faster growth rate than its underlying free cash flow on a rolling twelve-month, forward-looking basis. The stock price is way ahead of its fundamentals. Apple is just one the many poster children for the manic speculation and excess in today stock market at large. Stocks like Microsoft, Tesla, and Netflix show similar looking disconnect.
