Apple Is a Trillion-Dollar Company in Waiting, Says a Group of Analysts
Following Apple’s Q4 2017 earnings, a group of analysts have provided their thoughts on the valuation of the company. Simply stated, the stock price weighed in by these analysts might pave the way for Apple in pushing the trillion-dollar valuation mark.
Seven Analysts Have Set a Stock Target Price That Is Above $193 – Apple Displayed Growth in Its Entire Product Line for Its Q4 2017 Earnings
Business Insider reports that according to a 15-group analyst roundup, seven of them have set a target price of the stock that is above $193. This would see the tech giant hit the trillion-dollar market capitalization mark.
According to a Macquarie analyst, despite the limited innovation of the iPhone 7, it was still able to become a huge contributor for Apple’s smartphone growth for this quarter. Just to recap, Apple sold 46.7 million iPhones when it announced its Q4 2017 earnings.
“The bottom line is that Apple is dominating high-end smartphones and associated Services. Our bullish view of X is driven by the fact it is the most innovative iPhone in years, and that the more limited innovation of iPhone 7 still led to 215mm phone sales. Services growth, while still driven by broader app sales, also has more drivers, including Music, iCloud, Search, Apple Pay and more. Finally the new disclosure that Wearables is the size of a Fortune 400 company, and that Apple Watch sales grew over 50% 3 qtrs in row, highlights another category that is adding to overall growth. We reiterating our Outperform and raising our PT to $188.”
Apple has not disclosed the iPhone X pre-order numbers, but its revenue forecast for Q1 2018 is set between $84-87 billion. That being said, the aforementioned figure will definitely be riding on the iPhone X sales momentum.
According to some reports, components supply for the bezel-less iPhone have stabilized meaning that there is not going to be a significant disparity between it and demand.
How long do you think it will be before Apple has officially been titled as a trillion-dollar company? Tell us your thoughts down in the comments.
Source: Business Insider