4 Ways To Make Money passively With Apple Stock

Did you know that Apple stock has created more millionaires than most lottery tickets ever could? Whether you’re a complete beginner or someone looking to maximize your investment strategy, today, we’re breaking down 4 ways to make money with Apple stock!

Imagine if you had invested just $1,000 in Apple stock back in the early 2000s. Today, that small investment would be worth tens of thousands—if not more!

But don’t worry, you haven’t missed the boat. Apple remains one of the most profitable companies in the world, and there are still multiple ways to make money with its stock.

In this article, we’ll explore four proven strategies to capitalize on Apple stock—whether you’re a seasoned investor or just getting started. The best part? You don’t need a fortune to begin!

Why Apple Stock Is a Smart Investment Choice

Apple Inc. (AAPL) isn’t just a tech company—it’s a wealth-building machine that has transformed ordinary investors into millionaires.

Whether you’re looking for long-term stability, passive income, short-term trading opportunities, or diversified investment exposure, Apple stock has something for everyone.

But how do you actually make money with Apple stock? Is it enough to just buy shares and wait? Or are there smarter ways to maximize profits and reduce risks?

1. Buy and Hold for Long-Term Growth

One of the most proven and least stressful ways to make money with Apple stock is through the buy-and-hold strategy. This means purchasing shares and holding them for years—or even decades—allowing their value to appreciate over time.

Why It Works:

Apple is one of the strongest companies in the world, with a consistent track record of revenue growth, innovation, and financial stability. Here’s why long-term investors love Apple:

✅ Consistent stock price appreciation – Over the last two decades, Apple stock has skyrocketed, with annual returns far exceeding the market average.
✅ Industry leadership – Apple dominates the smartphone, tablet, and wearable tech markets, ensuring continued profitability.
✅ Innovation-driven growth – Apple consistently reinvents itself with products like the iPhone, MacBooks, Apple Watch, and now AI-driven innovations.
✅ Stock splits and investor-friendly policies – Apple has split its stock multiple times, making it easier for smaller investors to buy in and compound their gains over time.

Example:

If you had invested $10,000 in Apple stock in 2000, your investment would be worth over $1.5 million today.

Even in recent years, Apple has continued to outperform:

• 2019-2023 performance: Apple’s stock price increased by over 250%.
• $1,000 invested in AAPL in 2013 would be worth over $9,000 today.

Risks to Consider:

1. Market downturns – Even Apple stock isn’t immune to market crashes (such as the 2008 recession or 2022 tech selloff).

2. Competition & regulation – Government regulations and competition from companies like Samsung, Google, and Microsoft can impact growth.

3. Economic conditions – High inflation, rising interest rates, or weak consumer demand can slow Apple’s revenue growth.

How to Get Started:

• Open a brokerage account (Fidelity, Schwab, Vanguard, etc.).
• Buy Apple stock and hold it for at least 5-10 years.
• Consider dollar-cost averaging (DCA) by investing a fixed amount regularly to smooth out market fluctuations.
• Reinvest your dividends (more on this below) to compound your returns.

2. Earn Passive Income with Apple’s Dividends

One of the best-kept secrets about Apple stock is that it pays dividends. This means you can get paid just for holding shares, making it an excellent passive income stream.

Why It Works:

Apple regularly distributes a portion of its profits to shareholders through dividends, which means you earn money without selling your stock. Over time, these dividends can grow and compound into a substantial source of passive income.

✅ Quarterly dividend payouts – Apple currently pays dividends four times per year.
✅ Steady dividend growth – Apple has increased its dividend payments every year since 2012.
✅ Dividend reinvestment = More shares – Reinvesting dividends allows you to buy more stock, compounding your wealth.

Example:

If you own 100 shares of Apple, you currently receive about $100 per year in dividends. Over time, as Apple increases its dividend payouts, this income can grow.

If you reinvest those dividends, your Apple stock holdings will grow without you adding extra money, creating a snowball effect that accelerates wealth-building.

Risks to Consider:

1. Lower yield compared to other dividend stocks – Apple’s dividend yield is around 0.5%, which is lower than traditional income stocks like utilities or REITs

2. Dividends are not guaranteed – If Apple faces a financial crisis, it could cut or suspend dividends, though this is unlikely.

How to Get Started:

• Buy Apple stock and enable dividend reinvestment (DRIP) in your brokerage account.
• Hold for the long term to maximize compounding benefits.
• As your portfolio grows, consider using dividends for passive income or reinvesting them for faster wealth growth.

3. Invest in ETFs That Include Apple Stock

If you want to benefit from Apple’s growth but don’t want to put all your money into one stock, investing in Exchange-Traded Funds (ETFs) is a smart alternative.

Why It Works:

ETFs reduce risk by diversifying across multiple companies, while still giving you exposure to Apple’s stock performance.

✅ Diversification – ETFs hold hundreds of stocks, lowering the impact of one company’s performance.
✅ Less risk, same exposure – You still benefit from Apple’s growth without the volatility of holding just one stock.
✅ Great for beginners – ETFs require no stock-picking skills, making them perfect for new investors.

Best ETFs That Include Apple Stock:

📌 Schwab U.S. Large-Cap Growth ETF (SCHG) – Focuses on high-growth stocks like Apple, Microsoft, and Amazon.
📌 Vanguard Russell 1000 Growth ETF (VONG) – Holds large-cap tech and growth stocks, including Apple.
📌 Invesco S&P 500 Top 50 ETF (XLG) – Tracks the 50 largest companies in the U.S., with Apple as a major holding.

How to Get Started:

• Choose an ETF that includes Apple stock.
• Invest through a brokerage account.
• Hold for long-term growth while enjoying lower risk.

4. Trade Apple Stock for Short-Term Profits

If you prefer quick profits, trading Apple stock can be a profitable strategy. Unlike long-term investing, short-term traders buy and sell Apple shares based on price movements—sometimes within minutes, days, or weeks.

Why It Works:

Apple stock is one of the most actively traded stocks in the world, making it perfect for short-term opportunities:

✅High liquidity – Large trading volume ensures you can buy/sell quickly.
✅ Volatility creates opportunities – Apple’s stock frequently moves up and down based on earnings, product launches, and news.
✅ Multiple trading strategies available – Swing trading, day trading, and options trading allow traders to profit in different market conditions.

Example:

In 2022, Apple stock dropped below $130 per share due to macroeconomic concerns. Traders who bought at that level and sold in early 2023 at $170+ per share made a quick 30% return!

Risks to Consider:

1. Trading requires skill and experience – Without proper knowledge, short-term trading can lead to losses.

2. Emotional decision-making – Fear and greed can cause traders to buy or sell at the wrong time.

3. Market unpredictability – Short-term price movements can be volatile and unpredictable.

How to Get Started:

• Learn basic technical analysis to identify trends.
• Use stop-losses to limit potential losses.
• Follow Apple’s earnings reports and product launch cycles.
• Start small and scale up as you gain confidence.

Final Thoughts:

Apple has proven to be one of the most resilient and profitable stocks in the market, making it a solid choice for investors with various financial goals.

Whether you’re looking to build long-term wealth, earn passive income, profit from short-term market movements, or reduce risk through diversified ETFs, Apple offers multiple paths to financial success.

If you’re a long-term investor, buying and holding Apple stock could be your best option. Over the years, Apple has consistently increased in value, rewarding patient investors with significant capital appreciation.

For those who love passive income, Apple’s dividends provide a steady stream of earnings. While the dividend yield may not be as high as other income-focused stocks, Apple’s consistent dividend increases and reinvestment potential make it a great option for compounding wealth over time.

If you have a higher risk tolerance and enjoy market dynamics, trading Apple stock can be an exciting and lucrative opportunity.

Apple’s price movements, driven by earnings reports, product launches, and market trends, create numerous short-term trading opportunities for those who understand technical analysis and market timing.

However, this approach requires skill, discipline, and risk management to avoid heavy losses.

And if you prefer a lower-risk, diversified approach, investing in ETFs that include Apple stock is a smart choice. ETFs like the Schwab U.S. Large-Cap Growth ETF (SCHG), Vanguard Russell 1000 Growth ETF (VONG), and Invesco S&P 500 Top 50 ETF (XLG) allow you to gain exposure to Apple without the volatility of individual stock ownership. This strategy is perfect for beginners and those who want a hands-off investment approach.

Ultimately, the best strategy depends on your financial goals, risk tolerance, and investment time horizon.

Some investors may even choose a combination of these approaches—owning Apple stock for the long term while reinvesting dividends, trading short-term opportunities, and holding ETFs for diversification.

Regardless of which method you choose, one thing is clear—Apple’s strong brand, financial stability, and history of innovation make it a compelling stock to consider for your portfolio.

So, which strategy resonates with you the most? Are you planning to buy and hold Apple stock, earn dividends, trade actively, or invest through ETFs? Or are you going to do all let’s discuss in the comments!