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AAPLApple Inc.
$339.75$4.99T
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  1. Home
  2. Financial Ratios

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  3. AAPL
  4. Financial Ratios

Apple Inc. (AAPL) Financial Ratios

Latest Ratios: P/E Ratio 45.5x · EV/EBITDA 35.0x · ROE 171.4%. (1996–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

AAPL Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$4.99T$3.83T$3.51T$2.71T$2.46T$2.48T$1.97T$1.02T$1.13T$809.4B$620.0B
Enterprise Value$5.07T$3.91T$3.60T$2.80T$2.56T$2.58T$2.05T$1.08T$1.22T$904.8B$686.5B
P/E Ratio →45.5434.2437.4727.9324.6226.1934.2318.4218.9416.7513.55
P/S Ratio11.999.218.987.066.236.777.173.914.253.532.88
P/B Ratio69.1451.9961.6343.5648.4739.2730.1211.2410.546.044.83
P/FCF50.5238.8132.2627.1922.0426.6626.8317.2717.6015.7411.77
P/OCF44.7634.3829.6824.4920.1123.8224.4014.6614.5812.609.36

P/E links to full P/E history page with 30-year chart

AAPL EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—9.399.207.316.507.057.484.144.583.953.18
EV / EBITDA35.0027.0126.7322.2619.6521.4526.5414.0814.8812.659.73
EV / EBIT38.0829.4629.1423.8121.0223.0629.3315.5315.9913.6210.93
EV / FCF—39.5833.0828.1323.0127.7527.9718.2818.9917.5913.03

AAPL Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin46.9%46.9%46.2%44.1%43.3%41.8%38.2%37.8%38.3%38.5%39.1%
Operating Margin32.0%32.0%31.5%29.8%30.3%29.8%24.1%24.6%26.7%26.8%27.8%
Net Profit Margin26.9%26.9%24.0%25.3%25.3%25.9%20.9%21.2%22.4%21.1%21.2%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE171.4%171.4%157.4%171.9%175.5%147.4%73.7%55.9%49.4%36.9%36.9%
ROA30.9%30.9%26.1%27.5%28.4%28.1%17.3%15.7%16.1%13.9%14.9%
ROIC67.4%67.4%61.2%54.3%55.3%52.0%33.2%27.8%25.0%21.7%25.2%
ROCE69.6%69.6%62.3%56.3%56.3%49.1%29.4%26.5%27.0%23.7%26.5%

AAPL Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity1.521.522.091.992.612.161.871.191.070.860.68
Debt / EBITDA0.780.780.880.981.011.141.581.411.401.621.23
Net Debt / Equity—1.041.561.512.151.611.290.650.830.710.52
Net Debt / EBITDA0.530.530.660.750.830.841.090.771.081.330.94
Debt / FCF—0.770.820.940.981.091.151.011.381.851.26
Interest Coverage———29.9241.6442.2924.3519.3823.5028.5943.15

AAPL Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio0.890.890.870.990.881.071.361.541.131.281.35
Quick Ratio0.860.860.830.940.851.021.331.501.101.231.33
Cash Ratio0.330.330.370.420.310.500.860.950.570.740.85
Asset Turnover—1.161.071.091.121.040.850.770.730.610.67
Inventory Turnover38.6438.6428.8733.8245.2032.3741.7539.4041.3929.0561.62
Days Sales Outstanding—63.9961.8358.0856.4051.3949.7964.2667.3356.8049.59

AAPL Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield0.3%0.4%0.4%0.6%0.6%0.6%0.7%1.4%1.2%1.6%2.0%
Payout Ratio13.8%13.8%16.3%15.5%14.9%15.3%24.5%25.6%23.0%26.4%26.6%

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield2.2%2.9%2.7%3.6%4.1%3.8%2.9%5.4%5.3%6.0%7.4%
FCF Yield2.0%2.6%3.1%3.7%4.5%3.8%3.7%5.8%5.7%6.4%8.5%
Buyback Yield1.8%2.4%2.7%2.9%3.6%3.5%3.7%6.6%6.4%4.1%4.8%
Total Shareholder Yield2.1%2.8%3.1%3.4%4.2%4.1%4.4%8.0%7.7%5.6%6.8%
Shares Outstanding—$15.0B$15.4B$15.8B$16.3B$16.9B$17.5B$18.6B$20.0B$21.0B$22.0B

Key Metrics

Growth RegimeAccelerating
ProfitabilityStrong
Balance SheetHealthy
Cash FlowRobust
Top Statement Risk

iPhone concentration and regulatory pressure

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q3)

Margin Expansion on Services Mix

Gross margin reached 50.1% in 2026Q3, up from 46.2% in 2024Q4, according to recent financial statements, reflecting a favorable shift toward Services and improved cost efficiencies.

The 390 basis point gross margin expansion over eight quarters suggests that the revenue mix is tilting toward higher-margin Services, which carry lower COGS than hardware. Operating margin also improved to 32.6% in 2026Q3 from 31.2% in 2024Q4, indicating that operating leverage is amplifying the gross margin gains. However, the sustainability of this margin trajectory depends on the pace of Services growth relative to hardware, as any slowdown in iPhone upgrades could dampen the ecosystem's monetization.

ROIC Volatility Masks Underlying Strength

ROIC swung from 13.2% in 2024Q3 to 26.9% in 2026Q1, based on reported figures, reflecting seasonal earnings peaks and a shrinking capital base due to buybacks.

The wide quarterly swings in ROIC are largely driven by the seasonality of earnings and the impact of aggressive share repurchases, which reduce equity and invested capital. The trend in ROIC over the past two years shows a gradual improvement from the mid-teens to the high-teens, suggesting that the company is generating higher returns on its invested capital. This improvement appears to be driven by margin expansion rather than asset efficiency, as asset turnover has remained relatively stable around 0.28-0.30.

Negative CCC Reflects Supplier Leverage

Apple's cash conversion cycle remained deeply negative at -40 days in 2026Q3, as per financial statements, indicating that the company collects cash from customers well before paying suppliers.

The negative CCC is a structural advantage, driven by a DPO of 101 days versus DSO of 47 days and DIO of just 15 days. This implies that Apple is effectively using its suppliers as a source of interest-free financing, which enhances its cash generation. The stability of this negative CCC across quarters suggests that the company's working capital management is a core strength, though it also reflects its bargaining power over suppliers, which may face pressure if supply chain dynamics shift.

Leverage Easing as Debt Repaid

Debt-to-equity fell from 2.09 in 2024Q4 to 0.78 in 2026Q3, according to balance sheet data, as total debt declined to $84.3 billion and equity surged to $107.5 billion.

The substantial reduction in leverage is a result of both debt repayment and a rebound in shareholders' equity, which was previously depressed by buybacks. The D/EBITDA ratio also improved to 2.16 in 2026Q3 from 3.66 in 2024Q4, indicating that debt service is becoming more comfortable relative to earnings. However, the company's interest coverage ratio is not disclosed in the provided data, so investors should monitor this metric to ensure that the lower debt levels translate into adequate coverage.

Thin Liquidity Buffer Persists

Current ratio improved to 1.00 in 2026Q3 from 0.87 in 2025Q4, based on reported figures, but quick ratio of 0.93 suggests limited ability to cover short-term obligations without inventory.

Despite the improvement, the current ratio remains barely above 1.0, indicating that Apple's current assets are just sufficient to cover current liabilities. The quick ratio of 0.93, which excludes inventory, suggests that the company relies on inventory to meet some short-term obligations, though inventory levels are relatively low (DIO of 15 days). This thin liquidity buffer is typical for a company with strong cash flow generation, but it could become a concern if cash flows were to deteriorate unexpectedly.

P/E Misleads on Capital Returns

Apple's P/E of 41.88 appears elevated versus peers, but aggressive buybacks distort EPS growth, making P/E less meaningful; EV/EBITDA of 32.23 better captures the true valuation.

The P/E ratio is commonly misapplied to Apple because the company's massive share repurchase program inflates EPS growth, making the multiple appear lower than it would be without buybacks. For example, EPS grew 29.3% YoY in 2026Q3, outpacing net income growth of 27.2%, a gap attributable to buybacks. EV/EBITDA is a more appropriate metric as it adjusts for capital structure and is less affected by buyback-driven EPS distortions. At 32.23, Apple's EV/EBITDA is at a premium to Microsoft's 19.71 and Alphabet's 29.00, suggesting the market is pricing in sustained Services growth and ecosystem durability.

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AAPL — Frequently Asked Questions

Quick answers to the most common questions about buying AAPL stock.

What is Apple Inc.'s P/E ratio?

Apple Inc.'s current P/E ratio is 45.5x. The historical average is 29.3x. This places it at the 89th percentile of its historical range.

What is Apple Inc.'s EV/EBITDA?

Apple Inc.'s current EV/EBITDA is 35.0x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 18.6x.

What is Apple Inc.'s ROE?

Apple Inc.'s return on equity (ROE) is 171.4%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 47.2%.

Is AAPL stock overvalued?

Based on historical data, Apple Inc. is trading at a P/E of 45.5x. This is at the 89th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What is Apple Inc.'s dividend yield?

Apple Inc.'s current dividend yield is 0.30% with a payout ratio of 13.8%.

What are Apple Inc.'s profit margins?

Apple Inc. has 46.9% gross margin and 32.0% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.

How much debt does Apple Inc. have?

Apple Inc.'s Debt/EBITDA ratio is 0.8x, indicating low leverage. A ratio below 2x is generally considered financially healthy.