Central Pacific Bank's Trust Division recently disclosed a $3.11 million sale of Apple(AAPL -0.59%) shares in its latest quarterly SEC filing for Q2 2025.
What happened?
Central Pacific Bank - Trust Division reduced its stake in Apple by 14,540 shares during Q2 2025, executing a $3.11 million sale, according to a July 1, 2025 SEC filing. The transaction lowered the fund’s Apple position to 76,838 shares, valued at $15.76 million as of June 30, 2025.
What else to know
Apple stake trimmed; now 2.01% of reported 13F AUM
Top holdings after the filing:
- IVV: $48.96 million (6.2% of AUM)
- MSFT: $26.04 million (3.3% of AUM)
- SPY: $24.01 million (3.1% of AUM)
- IUSB: $18.13 million (2.3% of AUM)
- NVDA: $17.14 million (2.2% of AUM)
Apple shares closed at $213.55 on July 1, 2025, down 3.05% over the prior 12 months, underperforming the S&P 500 by 17.0 percentage points over the same period
Current dividend yield: 0.44%; forward P/E: 32.96; shares ended the quarter 17.90% below the 52-week high
Five-year revenue CAGR: -12.78% for the period ending June 30, 2025
Company overview
| Metric | Value |
|---|---|
| Market capitalization | $3.19 trillion |
| Revenue (TTM) | $400.37 billion |
| Net income (TTM) | $97.29 billion |
| Dividend yield | 0.44% |
Company snapshot
Offers a diversified portfolio of products and services, including iPhone smartphones, Mac computers, iPad tablets, wearables (such as Apple Watch and AirPods), and a suite of digital services like Apple Music, Apple TV+, and the App Store.
Operates a vertically integrated business model, generating revenue through direct hardware sales, subscription-based digital services, and platform fees from third-party applications and content.
Serves a global customer base comprising consumers, small and mid-sized businesses, as well as institutional clients in education, enterprise, and government sectors.
Apple is a global technology leader with a multitrillion-dollar market capitalization and a robust portfolio spanning hardware, software, and digital services.
Foolish take
Over the past year, Apple’s shares have fallen 7.3%, including a 16% drop in 2025 alone. Central Pacific Bank's divestment likely stems from momentum concerns in Apple stock. At a fundamental level though, the business remains sound with revenue and profit margins recovering over the past 14 months, after stagnating in 2022 and 2023.
The company’s high-margin services segment continues to be its trump card as it has consistently driven Apple’s overall growth with minimal cost outlays. This segment doubled quarterly revenue in five years, to $26.6 billion, second only to iPhone sales of $46.8 billion, which grew at a more sluggish pace of 61% over the same period. But what makes the services segment truly lucrative is that Apple's tightly-knit hardware ecosystem can be configured to offer even more value-added services to users than what's being offered today, including facilitating AI-powered offerings.
The stock’s trailing PE ratio of 32.7 is slightly above its five-year average of 30.3, implying the market is still bullish about Apple’s growth prospects. I agree with the assessment and wouldn’t consider the stock expensive. So long as Apple's overall business has an efficient growth engine, the stock should continue to reward investors handsomely.
Glossary
13F AUM: The total market value of assets reported by institutional investment managers in quarterly SEC Form 13F filings.
SEC filing: Official documents submitted to the U.S. Securities and Exchange Commission, disclosing financial and ownership information.
Dividend yield: Annual dividends paid by a company, expressed as a percentage of its share price.
Forward P/E: Price-to-earnings ratio using forecasted earnings over the next year, indicating how much investors pay per dollar of expected profit.
CAGR: Compound annual growth rate; the mean annual growth rate of an investment over a specified period, accounting for compounding.
TTM: Trailing twelve months; refers to financial data from the past 12 consecutive months.
Vertically integrated business model: A company controls multiple stages of its supply chain, from production to sales.
Platform fees: Charges collected by a company for allowing third parties to offer products or services on its platform.
Institutional clients: Organizations such as businesses, schools, or governments that purchase products or services, often in large quantities.
ETF: Exchange-traded fund; a type of investment fund traded on stock exchanges, holding a basket of assets.
Dividend: A portion of a company's earnings distributed to shareholders, typically as cash payments.
Quarterly: Occurring every three months; often refers to financial reporting periods or updates.
