Day 3

Apple is one of the most popular stocks overall, and it definitely interests many beginners, us included. But before we took the leap of faith, we wanted a clear idea of what we were heading into.

On the surface level, Apple’s recent revenue has grown by around 5% year over year, and the stock value has risen substantially, with a gain of around 63% over the past few years. They also have a manageable debt level compared to some other companies. Apple has had sustainable growth for the majority of its lifetime, making it seem like a very safe option compared to some others. But that does come with the downside of its growth potential not being as high as with some newer tech companies.

Looking at the company as a whole, Apple seems to be aggressively expanding toward foreign markets such as India. If successful, it could be extremely advantageous to establish a stronghold in a rapidly growing country with over a billion people. Meanwhile, just northward of India, China, a major base for Apple's manufacturing, could potentially impose trade restrictions or tariffs due to political tensions with the U.S. If it comes to fruition, this could damage Apple’s business, especially with the growing consumer market within China. However, Apple is taking steps to diversify its manufacturing toward other countries like Vietnam and India, which could lessen this risk over time.

Apple also has a price-to-earnings ratio of about 30, making it more vulnerable if growth slows down. That, alongside new competitors like Nothing in some niche electronics and continuing innovations from Samsung, could put Apple in a tough spot going forward.

Overall, though, the downsides don’t seem likely to materialize in the near term, which makes it an extremely safe stock to pursue for beginners. But we as a team have decided to further delve into other options, as we were not satisfied with our findings.