10 Mega Cap Stocks Gaining Bullish Momentum This Week

7. Apple Inc. (NASDAQ:AAPL)

Apple Inc. operates as a manufacturer, designer, and marketer of personal computers, wearables, smartphones, tablets, and accessories. The company provides iPhone, iPad, Mac, and wearables. It also offers AppleCare support and cloud services.

Like any other good company, Apple stock continues to trade at a ridiculous valuation despite a 10% downturn in price within a month. According to a recent report published by Morgan Stanley, Apple is among a handful of stocks that are ideally placed to sustain an economic downturn. However, the fact that it is also expensive makes it a tough decision for long-term investors.

There are quite a few things that should soothe investors when talks of a bubble come around. A major difference between the current high valuations and the ones during the dot-com bubble is that valuations then were based on non-financial metrics like viewers and clicks. Today’s valuations are much more solid as they are based on the actual earnings of the companies.

Moreover, the AI revolution is bringing about a change way more significant than the internet. And Apple is at the forefront of it. The company is considering adding cameras to its smartwatches so that they can be equipped with Visual Intelligence features. The same could be added to AirPods soon.

Apple is behind other tech companies when it comes to AI innovation, but it has the advantage of a vast ecosystem that it can use to its advantage. Investors may want to do the same and back this winner before it regains the lost share value.