Apple Inc. (NASDAQ:AAPL) shares have fallen 28 percent since their record high in September, and prices remain under pressure ahead of the company’s earnings report next week. Because of the stock’s downtrend in recent weeks, analysts at MKM partners say they would be “moderately bullish” on the stock, which is trading at its lowest valuation since the middle of the 1990s.

MKM Partners have not covered shares of Apple Inc. (NASDAQ:AAPL), but they do have some input on the stock. They say it’s trading at only 10.4 times the 2013 earnings per share estimate of $48.55 per share, which is close to the “least expensive level since the mid-1990s.” They say the combination of the stock’s weak performance and a neutral to moderately positive setup in the options market has created expectations for positive options through the company’s earnings results.

They recommend: “buying 510/540 call spreads for $10.15 fully financed by the sale of $470 strike puts at $10.80 and a small net credit.” They say with that position, investors are committed to owning the stock at 470 with Apple Inc. (NASDAQ:AAPL) “below that level at (expiration). It’s 7 percent lower and 9.7 times the consensus of the 2013 earnings per share estimate. If the stock remains between the $470 and $510 strikes at expiration, “modest credit from the position is retained.”

Shares of Apple Inc. (NASDAQ:AAPL) opened this morning just below the $500 mark again. This is the second time this week the stock has dipped below $500 per share. The stock rose initially after the markets opened this morning and then started falling again.