Tech Giants' Growth Slows but Apple Valuation Stays High Despite Near Bankruptcy in 1990s
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Apple's growth has slowed recently, with iPhone sales up only 2.8% and revenue/earnings expected to rise just 3.1%/6.7% in 2024. However, valuation remains high at 27.4 P/E.
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Sony's growth has also slowed, with expected revenue decline of 1.4% and earnings growth of just 1.3% in 2024. But valuation is cheaper at 15.7 P/E.
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IBM's growth is slow too, with expected 1.1% revenue growth and 3.3% earnings growth in 2023. Valuation is attractive at 15.8 P/E and it pays a 4.5% dividend yield.
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Apple was 30 days from bankruptcy in the 1990s before Microsoft bailout; had huge success with iPod, iPad, iPhone.
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Sony had iconic Walkman product in 1979, selling 186M units. Has gaming, music, camera and entertainment divisions now.