Apple’s momentum could stall

Article Excerpt

APPLE INC. $173 is still a hold. The company (Nasdaq symbol AAPL; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 16.4 billion; Market cap: $2.8 trillion; Price-to-sales ratio: 8.3; Dividend yield: 0.5%; TSINetwork Rating: Average; www.apple.com) gets about half of its revenue from iPhone sales. The other half comes from sales of its Mac computers, iPad tablets and other products and services. Apple continues to benefit as users upgrade their older iPhones to new models that run on ultrafast 5G wireless networks. It also continues to see strong demand for the apps, music and movies that it sells through its App Store. That’s why the stock is touching an all-time high. However, the Omicron variant of COVID-19 could force the company to close its retail stores. The variant could also slow shipments of chips and other components from manufacturing plants in Asia. Slowing revenue could prompt momentum traders to dump the stock. Apple is a hold. hold…