The Apple Inc Company analysis

Prepared by : Group 1

A consumer electronics company Established on April 1,1976 in Cupertino,California by Steve Jobs,Steve Wozniak and Ronald Wayne. Erstwhile Apple Computers Inc As of Sept 2010, 46,600 FT employees and 2800 temporary full time employees. Listed in NASDAQ and NYSE It tops the list of fortunes most admired companies in America and the world as well. Market value is more than 30% of Indias GDP.

Hardware
Mac
Desktops Notebooks

Software
Mac OS Itunes App Store

Iphone Ipod Ipad

Its products set and maintain high standards for the market. Good brand loyalty Tunes store - a very popular source for digital downloads, compatible with window based platforms, excellent source of revenue for Apple . Attractive user interface on all its electronics Strong Research & Development Department. Apple only spent $4.6 billion on R&D over the past four years, while revenues soared from $25 billion to $43 billion. High ROI. Apple believes in growing organically .

Limited product range, Practically very less gaming capabilities. Lags behind in exploring the area of cloud computing Google s android system poses a threat to Apple Apple products tend to have short life cycles Apple is ill-equipped to meet demand that arises with the introduction of new products. Iphone and I pads have critical weaknesses. The software running on these devices could be used by criminals to gain access to confidential data, germany s IT security agency have warned.

Comparatively more secure . Marketing to a younger crowd poses opportunities for Apple. Increased market presence, expansion in the asia pacific . Developing lower end inexpensive models. It can look forward to collaborate with other companies in the near future.

Global economic situation is likely to reduce demand for higher-priced consumer items. Apple works in a vacuum, as they are very secretive about their products, they might lose out in the long run where other companies are collaborating The Brand image is tied to Apples founder and CEO Steve Jobs; so his secrets may very well be buried with him when he dies. The music industry is pressuring Apple to raise the price on ITunes songs, as the music business is losing money Free music available at other online source without paying cost is common it may impact the iTunes sales.

APPLE

GOOGLE

HEWLETTPACKYARD

RESEARCH IN MOTION LTD 14.15B

Market Cap Revenue Net Income EPS

359.91B

194.57B

73.86B

87.45B
19.55B 20.99

31.12B
8.35B 25.75

127.94B
9.22B 4.07

20.58B
3.34B 6.30

The following table gives the information about Net sales, Total assets, Total long term obligations & Total liabilities. All data is in millions.

The following graph shows a five-year comparison of cumulative total shareholder return, calculated on a dividend reinvested basis for the company. The graph assumes $100 was invested in Companys stock on September 30, 2005. Data points on the graph are annual.

The health of Apple chief executive Steve Jobs might be in question, and his successor's identity remains unknown, but the company's financial fortitude appears as sturdy as ever. Fueled by sales of its Macs, iPhones and iPads, the technology giant far surpassed Wall Street analysts expectations by reporting that it earned $3.25 billion in the last three months, more than double from the corresponding quarter in 2009. The company also posted surprisingly high sales of nearly 7.5 million iPads, the company's pioneering tablet device that was a hit during the Christmas holiday season. Other thing which is to be noted is that there has been a growth of 142 Percent in iPhone & iPad Sales Grow by 183 Percent.