Apple could become the world’s first company to break through the $1 trillion market cap value — all within a year, at least according to a particularly bullish Wall Street analyst.
Brian White, a senior analyst at investment firm Drexel Hamilton, distributed a research note to clients on Friday, a copy of which was obtained by MacRumors. It reiterated White’s belief that Apple’s stocks were among the “most underappreciated” in the world. “In our view, Apple’s quarterly results will be less important this summer as investors are focused on the iPhone 8 this fall, along with the company’s raised capital distribution initiative, depressed valuation, and new innovations as showcased at WWDC,” the note reads. Earlier this year, White wrote a research note with a similar prediction, claiming that Apple’s underappreciation was an “attractive upside” for investors.
In particular, White believes that Apple’s upcoming iPhone lineup will set the company up to reach his proposed $202 a share price target within the next 12 months. Based on current market capitalization, that would value the company as worth slightly over $1 trillion. Apple’s shares are currently priced at $144.50, around a 7.5 percent decline from its all-time high of $156.10 in May. That puts the Cupertino-based company’s current total value at about $740 billion. White added that this “bottom in the stock” echoes a similar bottoming in 2013, which he said could set up Apple to hit his price target.
Other analysts and investors believe that Apple could become America’s first trillion dollar company, too — including legendary business magnate Warren Buffett, who purchased 120 million Apple shares since the beginning of 2017. The release of this year’s radically redesigned iPhone X is largely expected to spur an “upgrade super-cycle” and resulting sales boom, which could be a major catalyst and a driver toward Apple’s $1 trillion milestone. The premium device is rumored to feature revolutionary improvements, including an edge-to-edge OLED display, advanced 3D and AR capabilities, wireless charging and other innovations.