Apple Inc. (NASDAQ:AAPL)

The analysis of the financial data reveals notable trends in share price, operating profit per share, and the price-to-operating profit (P/OP) ratio over the period examined.

Share price

The share price displayed a consistent upward trajectory with some fluctuations. Starting from a low base of $2.56 in late 2005, the share price increased gradually, reaching $14.31 by late 2011. After a brief decline and volatility around 2012-2013, it surged significantly to $108.86 by late 2020, continuing to rise to $222.91 by late 2024. This illustrates strong market confidence and substantial capital appreciation over the long term.

Operating profit per share

Operating profit per share showed general growth during the period. Beginning at $0.07 in 2005, it increased steadily to $1.3 by 2011 and peaked around $3.19 to $3.74 between 2014 and 2018, before slightly fluctuating. The profit per share reached $8.15 by late 2024, indicating improved operational efficiency and profitability supporting the share price appreciation.

P/OP (Price to Operating Profit ratio)

The P/OP ratio experienced considerable variability. Initially, it was very high at 36.61 in 2005, then generally decreased to a low around 9.34–11.74 during 2011-2016, suggesting that the share price growth was more aligned with profit growth during this period, reflecting a more reasonable valuation. Post-2016, the ratio rose again, peaking at 27.92 in 2020 and remaining elevated through 2024, signaling that share price growth outpaced profit gains, potentially indicating increased market optimism or expectations of future earnings growth beyond the current operating profits.

In summary, the data reflects substantial expansion in share price and operating profitability, with the valuation multiples varying to reflect changing market sentiments. The latter years show higher valuation relative to operating profits, implying a bullish outlook by investors despite more moderate profit increases.