Market News · Valuation · July 20, 2026
By the Bentley Equity Loans Team
Market & financial news desk
Market & financial news desk
Monday's fresh highs pushed the price-to-earnings ratio at Apple Inc. (AAPL) to about 40, a level intensifying the debate over how much further the stock can run. That multiple sits well above Apple's 10-year average near 23.
The Bull Case
Bulls argue the premium is justified. Citi's Asiya Merchant raised her target to $365, citing record smartphone share near 25%, PC gains, and gross-margin guidance of 48% to 49% despite a memory-chip shortage. Free cash flow near $140 billion supports the case.
The Bear Case
Bears counter the math is stretched, with some DCF models placing fair value far below current levels and the average target still trailing the price. Monday's move only widened the gap.
Frequently Asked Questions
What is Apple's P/E ratio in July 2026?
Apple Inc. (AAPL) traded near 40 times trailing earnings, above its 10-year average of about 23.
Is the valuation justified?
Bulls cite Services, cash flow, and AI; bears cite the premium multiple and below-price average target. This is not investment advice.
What is Citi's price target?
Citi raised its Apple target to $365, among the most bullish on the Street.
Disclaimer: This article is for informational purposes only and does not constitute investment, financial, or trading advice. Bentley Equity Loans is a real estate lender and is not a broker-dealer or investment adviser. Market data may be delayed; verify prices and figures with a live source before making any decision. Consult a licensed financial professional.