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Three incredible stats about Apple as it tracks for its best month since 2012


“It’s certainly hard to fight the stock,” said Matt Maley, equity strategist at Miller Tabak, Tuesday on CNBC’s “Trading Nation,” noting that his firm reiterated its bullish call on the stock in May as it broke out to new highs.

Over the past three months, Apple has surged 17 percent in the second-best Dow performance behind Merck. That steep decline has made Maley wary of a near-term pullback.

“The stock has gotten a little overbought on a near-term basis. It’s not reached the extremes it’s seen at major tops weekly. But … it’s getting to levels where it usually takes a breather,” Maley said.

Its relative strength index, a momentum tracker, moved as high as 78.5 on Wednesday. A reading above the 70 threshold is generally considered overbought territory.

“I’m not saying you should sell the stock or even stop buying the stock but I think if you want to be more aggressive you want to do it on any kind of dip rather than to chase it in a major way up here,” he added.

Chad Morganlander, portfolio manager of Washington Crossing Advisors, is bullish on Apple’s future, particularly in its high-growth services business.

“That for us is going to be the game-changer over the next five years,” Morganlander told “Trading Nation” on Tuesday. “If they’re able to make services a larger piece of the pie, then they’ll demand a higher multiple because the services side of the business is a much more predictable, higher-margin business.”

Apple’s services segment sales reached a record high of $9.5 billion in its recent quarter, up 31 percent from a year earlier. It currently accounts for 13 percent of total revenue.

Morganlander expects a 6 percent total return over the next 12 months in Apple shares.

Disclosure: Chad Morganlander and his firm do not have positions in Apple.

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