News & Trending Investing News

Why Apple Might Be the Riskiest 'Safe' Stock in Your Retirement Portfolio

Three powerful rivals are closing in on Apple's market dominance

By Damilola Esebame, CFEI® , Edited by Laura Hohenstein

Updated Oct. 28, 2026

Add Us On Google

SpaceX (NASDAQ: SPCX), Nvidia (NASDAQ: NVDA), and Alphabet (NASDAQ: GOOG) could each surpass Apple (NASDAQ: AAPL) in market capitalization within five years. Apple's $4.92 trillion market cap carries a forward price-to-earnings (P/E) ratio of 35.82 alongside quarterly revenue growth of 16.40%, trailing the momentum all three rivals have posted.

Retirees holding concentrated AAPL positions may want to check if you're financially ahead by weighing how much growth a stock at 35 times forward earnings delivers against rivals at lower multiples.

Set up eligible direct deposit - pocket up to $400

Set up an eligible direct deposit with SoFi Checking and Savings and you could earn a bonus of $50 or $400.¹ New and existing Checking and Savings members who have not previously enrolled in Direct Deposit with SoFi are eligible to earn a cash bonus of either $50 (with at least $1,000 total Eligible Direct Deposits received within 25 calendar days of your first Eligible Direct Deposit of $1 or more) OR $400 (with at least $5,000 total Eligible Direct Deposits received within 25 calendar days of your first Eligible Direct Deposit of $1 or more). Cash bonus amount will be based on the total amount of Eligible Direct Deposit received within 25 calendar days of your first Eligible Direct Deposit of $1 or more. If you have satisfied the Eligible Direct Deposit requirements but have not received a cash bonus in your Checking account, please contact us at 855-456-7634 with the details of your Eligible Direct Deposit. Direct Deposit Promotion begins on 5/15/2026 and will be available through 12/31/2026. Full terms at <a href="https://www.sofi.com/banking/">sofi.com/banking</a>. SoFi Checking and Savings is offered through SoFi Bank, N.A., Member FDIC. SoFi members with Eligible Direct Deposit can earn 3.30% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Eligible Direct Deposit amount required to qualify for the 3.30% APY for savings (including Vaults). Members without Eligible Direct Deposit will earn 0.80% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Interest rates are variable and subject to change at any time. These rates are current as of 9/23/26. Fees may reduce earnings. Additional information can be found at <a href="https://d32ijn7u0aqfv4.cloudfront.net/wp/wp-content/uploads/raw/SoFi-Bank-Rate-Sheet-September-23-2026.pdf">http://www.sofi.com/legal/banking-rate-sheet</a>. Make the switch, set up eligible direct deposit, earn the bonus. It basically takes no extra work at all other than following these steps.

Why people are switching: This account earns up to an insane 4.40% APY² Earn up to 4.40% Annual Percentage Yield (APY) on one SoFi Savings account with a 1.10% APY Boost (added to the 3.30% APY as of 10/20/26) for up to 6 months. Open your first SoFi Checking and Savings account and receive eligible direct deposits OR qualifying deposits of $5,000 every 31 days by 12/31/27. Rates are variable, subject to change. Terms apply at <a href="https://www.sofi.com/banking/#4">sofi.com/banking#4</a>. SoFi Bank, N.A. Member FDIC. on savings for up to six months on new accounts (3.30% APY standard + 1.10% APY boost; terms apply) on top of that $50 or $400 bonus.¹ New and existing Checking and Savings members who have not previously enrolled in Direct Deposit with SoFi are eligible to earn a cash bonus of either $50 (with at least $1,000 total Eligible Direct Deposits received within 25 calendar days of your first Eligible Direct Deposit of $1 or more) OR $400 (with at least $5,000 total Eligible Direct Deposits received within 25 calendar days of your first Eligible Direct Deposit of $1 or more). Cash bonus amount will be based on the total amount of Eligible Direct Deposit received within 25 calendar days of your first Eligible Direct Deposit of $1 or more. If you have satisfied the Eligible Direct Deposit requirements but have not received a cash bonus in your Checking account, please contact us at 855-456-7634 with the details of your Eligible Direct Deposit. Direct Deposit Promotion begins on 5/15/2026 and will be available through 12/31/2026. Full terms at <a href="https://www.sofi.com/banking/">sofi.com/banking</a>. SoFi Checking and Savings is offered through SoFi Bank, N.A., Member FDIC. SoFi members with Eligible Direct Deposit can earn 3.30% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum Eligible Direct Deposit amount required to qualify for the 3.30% APY for savings (including Vaults). Members without Eligible Direct Deposit will earn 0.80% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Interest rates are variable and subject to change at any time. These rates are current as of 9/23/26. Fees may reduce earnings. Additional information can be found at <a href="https://d32ijn7u0aqfv4.cloudfront.net/wp/wp-content/uploads/raw/SoFi-Bank-Rate-Sheet-September-23-2026.pdf">http://www.sofi.com/legal/banking-rate-sheet</a>. That's way better than the measly 0.38% APY (as of 10/19/26)³ Based on <a href="https://www.fdic.gov/national-rates-and-rate-caps">this</a> FDIC data, as of 6/15/26. national average savings accounts offer.

No monthly fees and no surprises. Open your account and earn up to a $400 bonus

Apple's forward P/E nearly doubles Nvidia's on one-sixth the revenue growth

Apple's forward P/E of 35.82 and price-earnings-to-growth (PEG) ratio of 3.55 sit on TTM revenue of $466.82 billion with quarterly growth of 16.40%, Yahoo Finance reported. TTM revenue growth of 14.24% marks an acceleration from the 6.43% posted in fiscal 2025, StockAnalysis highlighted, but trails each of the three rivals.

Nvidia's TTM revenue grew 83.38% at a forward P/E of 18.03, roughly six times Apple's annual pace at about half the forward multiple. The gap suggests retirees' capital may compound faster in a stock where the growth-to-valuation ratio is more favorable.

Shopping for cheaper auto insurance? Enter your zip code here to get started.

Nvidia's 63.66% profit margin more than doubles Apple's 27.62%

Nvidia posted a TTM profit margin of 63.66% and a gross margin of 74.67%, converting more than half of its revenue into net income, StockAnalysis noted, on graphics processing unit (GPU) and networking demand. Apple's profit margin of 27.62% and gross margin of 48.65% trail those figures despite $466.82 billion in TTM revenue, roughly 54% more than Nvidia's base, MacroTrends highlighted.

Nvidia's TTM operating cash flow reached $134.36 billion with free cash flow (FCF) of $127.01 billion, a 76.34% year-over-year increase, StockAnalysis documented. Apple's operating cash flow of $146.72 billion and free cash flow of $136.68 billion are both larger, StockAnalysis reported. However, Nvidia generates nearly as much free cash flow on a smaller revenue base.

Alphabet's Cloud grew 82%, and analysts project 24% revenue expansion

Alphabet's $3.87 trillion market cap made it the second largest among the trio, Motley Fool reported, with Google Cloud revenue growing 82% year over year in the second quarter of 2026. Custom Tensor Processing Units (TPUs) give the cloud unit a payback of roughly one year, about half the time of Nvidia GPUs, Motley Fool highlighted.

Fiscal 2026 revenue estimates average $500.14 billion, implying 24.16% growth from the $402.84 billion posted in fiscal 2025.
Consensus earnings-per-share estimates of $20.6.
43 of 61 analysts rate the stock a strong buy.
The average 12-month price target of $427.35 implies roughly 35% upside from the October 26 close of $316.80 for GOOGL shares.

Retirees holding AAPL at 35 times forward earnings may want to weigh whether Alphabet's faster revenue growth at a lower forward multiple offers a stronger return profile for their portfolios.

SpaceX targets up to $1 trillion in revenue by 2030

SpaceX's $1.97 trillion market cap makes it the smallest of the three challengers, but chief executive Elon Musk projected $500 billion to $1 trillion in annual recurring revenue (ARR) by 2027 from its artificial intelligence (AI) infrastructure business. Starship, Starlink, and the Cursor AI coding business drive the revenue outlook, alongside plans to add 10 to 20 gigawatts of computing power, Motley Fool highlighted.

A price-to-sales multiple of 10 applied to $1 trillion in revenue would value SpaceX at $10 trillion, roughly double Apple's market cap, Motley Fool noted. Retirees concentrated in AAPL may want to consider whether a rival projecting $1 trillion in revenue within five years changes how much growth their current position delivers.

Apple has raised dividends for 15 consecutive years at a 4% pace

Apple raised its quarterly dividend 4% to $0.27 a share in April 2026, extending a 15-year streak of annual increases, TIKR reported. The forward annual dividend of $1.08 yields 0.31% with a payout ratio of 12.04%, Yahoo Finance highlighted.

Apple's 10-year dividend compound annual growth rate (CAGR) of 6.88% and five-year CAGR of 4.51% reflect a moderate pace of increase, SeekingAlpha documented. Diluted earnings per share grew 32.61% on a TTM basis, while dividends rose at single-digit rates, StockAnalysis noted, meaning Apple retains most of its earnings growth.

A 35x forward multiple bets on Apple sustaining growth, three rivals outpace

Nvidia's revenue growth of 83.38% at a forward P/E of 18.03 presents a fundamentally different growth-to-valuation profile than Apple's 14.24% at 35 times forward earnings, StockAnalysis noted. Retirees evaluating concentrated AAPL positions may find that a payout ratio of 12.04% limits how much income offsets slower price appreciation at this premium, Yahoo Finance highlighted.

Grow Your $$: 11 brilliant ways you could build wealth after 40

Bottom line

Apple's TTM net income of $128.93 billion and operating margin of 32.62% produce a return on equity (ROE) of 148.75%, while total cash of $62.4 billion offsets part of the $84.34 billion in total debt. Apple's fiscal 2025 revenue of $416.16 billion grew just 6.43%, and the prior year rose 2.02%.

This suggests the TTM acceleration to 14.24% may need to hold before the 35x forward multiple looks justified. Retirees using the must-have investing apps in their toolkit may find Apple's upcoming quarterly results a defining signal on whether the stock's revenue momentum justifies the valuation gap against Nvidia, Alphabet, and SpaceX.

This article is for informational purposes only and should not be considered investment advice.

More from FinanceBuzz:

Help Protect Your Savings From Stock Market Volatility With Gold

American Hartford Gold Benefits

American Hartford Gold helps individuals protect their retirement by rolling over IRAs and 401(k)s into physical gold.
Includes FREE IRA rollover and storage for up to 3 years.
Get up to $20,000 in free silver on qualifying purchases.

Download your guide for free