Tim Cook Just Sold Apple Stock Near All Time Highs. Here Is Why One Analyst Says Alphabet Is the Smarter Trade

"Memory can constitute 10% to 15% of the total bill of materials for high-end smartphones. That is the canary. Apple still derives roughly half of revenue from one device, and the market is paying a software-grade multiple for a hardware business about to absorb component inflation the supply chain has already telegraphed."

"Apple trades at a P/E near 38x with a price-to-book of 58.30 and a free cash flow yield of just 2.30%. The most recent quarter delivered EPS of $2.01 on revenue of $111.18B, up 16.6% YoY, with iPhone contributing $56.99B and Greater China another $20.50B of geopolitical exposure."

"Insiders are walking. Director Arthur Levinson disposed of roughly 255,000 shares on May 6 near $285, and Cook, the CFO, the COO, and SVP O'Brien all sold in early April. Shares have run 12.47% in the past month and 48.19% over the last year, yet Polymarket gives Apple only a 20.5% probability of finishing May above $300."

"Google trades at roughly 17x earnings with a 5.84% earnings yield and debt-to-equity of 0.14 against Apple's 1.52. Net margin runs 32.80%, return on equity 35.70%, and return on invested capital 29.60%. You pay less than half Apple's multiple for a cleaner balance sh"

Apple’s latest quarter shows iPhone revenue rebounding, with CEO Tim Cook citing extraordinary demand for the iPhone 17 lineup. Memory chip costs are highlighted as a key supply-chain signal because memory can represent 10% to 15% of high-end smartphone bill of materials. Apple’s valuation is described as demanding, with a P/E near 38x, a price-to-book around 58.30, and a free cash flow yield near 2.30%. The quarter reports EPS of $2.01 on $111.18B revenue, with iPhone contributing $56.99B and Greater China adding $20.50B. A $100B buyback authorization and a 4% dividend hike are noted alongside insider share sales and a low probability of reaching $300 by month-end. Alphabet is presented as a cheaper alternative with lower valuation and strong profitability metrics.

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