Stocks
AAPL Options Trade Suggests Market Uncertainty Amid Elevated Valuation
A recent options trade involving Apple Inc (NASDAQ: AAPL) has piqued investors' interest. On August 27, an investor made a notable profit by purchasing 3,545 weekly put options expiring on August 31 with a strike price of $315.
The puts were bought at $3.25 when the underlying stock price was $315.00 and closed trading at $3.93 while Apple shares declined slightly to $313.45.
According to GuruFocus' GF Value™ metric, Apple's intrinsic value is estimated at $283.90 per share, with a current market price of $313.45. This puts the stock about 10.4% above its fair value, suggesting moderate overvaluation.