Skip to Content

Everything You Need To Know Before Buying Apple Shares

Apple is one of the major companies in the history of the stock market.

Buying and owning a share of Apple is exciting. But is it the best decision to make?

With the current outbreak of pandemic worldwide, certain factors can play crucial roles in upgrading or downgrading the share value of Apple.

Apple store logo

So, we can’t say for sure that owning an Apple share is the best buy right now. However, it’s true that if you own a share of Apple, you can proudly call yourself one of the joint-owners of the company & may have a say in the decision that Apple makes.

That said, let’s talk about what’s the current status of Apple shares.

Current Shareholders Of Apple

As one of the leading companies in the stock world, Apple has 10 of the world’s 21 billionaires invested in it.

Among them, Warren Buffett alone holds 23.84% of the total Apple shares. Among other billionaires, George Soros, Carl Icahn, Wells Fargo, Yahoo, AIG, Coca Cola, are the most prominent ones.

Even IBM is one of those top 10 billionaires that have claims in Apple.

Investors are also talking about the company a lot these days, and no, it is not about the launch of another iPhone.

They are talking about Apple’s next ambitious project the “Apple-fi” which can be equally or more popular than 5G. You can learn more about it in the
StocksReviewed blog post on Apple Fi.

Advantages Of Having Apple Share

Investing in Apple can give you high returns over the long haul. Apple is providing other fancy benefits as well.

Apple is paying its shareholders dividends quarterly upon the demand of the investors.

The more you have shares in Apple, the more dividends you will get. That said, don’t get too excited just yet, because you still have to pay taxes on these dividends.

The higher your percentage of share in Apple, the more taxes you will have to pay. This may even go up to 20%.

But if you consider a steady source of return, then Apple shares stand out among many.

Should You Buy Apple Shares?

It is probably the most challenging question to answer in this article. Apple stocks are highly volatile. That said, it won’t be intelligent to invest in  Apple if you are looking to make a quick profit.

The company has quite a history and faced its fair share of problems. Back in 2008 & 2013, Apple lost a significant amount of shareholders.

As I have mentioned earlier, the stock market & Apple shares both are volatile, and it is challenging to predict the future, but Apple does pay if you stick with it.

Apple is The Long Game

Apple is for those who want to invest for an extended period. I am talking about 5-10 years here. Your investment will keep circulating & you will start earning steadily but a handsome amount for sure.

There are lots of low-stake firms that provide low volatility. Thus you can have an almost risk-free return from those companies but with a lesser amount.

Something Better Than Apple?

If you are confident enough to take risks, then consider investing in Apple. Otherwise, refrain from doing it because the stakes are high.

Besides, you won’t find any quick return here. So, if you are the long haul player, then invest in Apple.

There are lots of low-end risk companies that provide a decent return on investment.

These firms follow direct investments & may offer a profit margin of about 1.65%. That’s not much but can be a steady start.

How Expensive Are Apple Shares?

Buying an apple share is costly. However, compared to 6-7 years earlier, today’s market has become a lot cheaper. Now you will need about $128 to buy an apple share (excluding other expenses).

In 2013/2014, you would have to pay $700 for an apple share because of the 7:1 stock split in 2014.

As per the announcement by the board of Apple about splitting again this month, a 4:1 split will occur. Meaning that if you had an apple share before this month, that would count as four shares.

Besides this, you will need to pay fees to your broker, stamp duty payment, capital gain tax, etc.

How to Buy Apple Share

You can buy over the phone, P.O. box, email, website, etc. However, if you try buying shares online, you may face some difficulties.

Considering the websites being refreshed many times a day, you may not get the value that made you buy the stocks initially.

Hence, you can consider buying hard, documented shares. But then, you will have to bear some additional costs: broker’s expense, government tax, etc.

The only problem of investing through the stockbrokers is that you won’t get official year-end updates or books from Apple.

Your money will be safe in your account, but the official authorization won’t be there for you.

Apple Shares’ Volatile Nature

Over the years, some unexpected things happened to apple stocks from time to time. It’s because of some schemes that the big investors played & shook the whole stock market.

Apple faced massive declines in their share values & lost enormous shareholders in 2012-2013.

The small investors were the worst sufferers. Many of them even sold their shares at a minimum price & never returned to Apple. It was a scheme played by the big game to earn short-term profits.

Ups & Downs of Apple Stocks

The only visible problem of Apple that people complain about is their lesser interest in market shares. That said, Apple makes quality products at a higher price.

iPhones are not affordable for everyone. Although the mid-range smartphone market is the new boon for investment, Apple is not following the trend.

They are not making cheap iPhones, which may be affordable by lots of people.

Besides that, the sole importance of the iPhone has been criticized for so long. Now Apple is also giving importance to iPods, iPads along with iPhones.

Takeaway

Considering the current pandemic, the decision to adopt diversification rather than only making better iPhones may open up a new dawn for the investors.

That said, before investing in any company you have to analyze and do proper research first. Despite Apple being a well-known company, treat it the same way and make a smart investment decision.