“Apple recently blew past Microsoft, Cisco, and other companies to become the most valuable tech company in the world,” Henry Blodget reports for The Daily Ticker. “But that’s just the beginning, says investor James Altucher of Formula Capital.”
“Altucher thinks Apple will eventually be worth more than $1 trillion, maybe even $2-$3 trillion,” Blodget reports. “Apple is currently worth about $320 billion, so $1 trillion would be a price of about $1,000 per share.”
“Why does Altucher think Apple’s stock will go to the moon? Because Apple’s growth rate is astounding for a company its size, and the company’s global market share in its key markets–smart-phones, tablets, and Macs–is still very low,” Blodget reports. “Also, factoring out Apple’s massive $65 billion pile of cash, the stock is trading at a low price-earnings multiple.”
Blodget reports, “And what about the biggest concern most people have about Apple, the heath of its founder and visionary, Steve Jobs? Steve Jobs is indeed an amazing leader, Altucher says. But Apple is now large and diversified enough that, if Jobs can never return full-time, the company will be okay without him.”
Watch the 5:55 video here.
This guy doesn’t actually understand how the stock market works, and why it is impossible for Apple to ever reach $1,000 a share.
Why don’t you go ahead and explain it to us?
I think you are full of it. $1,000 per share is just a number.
Have you checked out the price of a share of Berkshire Hathaway lately?
MacBill- share your “wisdom” about the stock market regarding why it is impossible for Apple to ever reach $1,000.
Looking forward to your humorously ignorant response.
Ignorance talking.
On 4th July 1997, AAPL was below $4 a share.
It’s up 90 times so far.
Why would it fail to go up just 3 little times more when it is firing on all cylinders and lubed to sing like a whistle?
You have the gift of talking out of your nether end.
Your ideas smell.
Please don’t remind me. My retirement accounts were a measley $4,000 in 1997. If I had put that money in Apple stock I’d have around $350,000 now (and with all my contributions over the intervening years I am still below that).
Still haven’t changed your name to WindowsSchill yet, billy? Seems more fitting given your response track record here on MDN.
Read the book “Aftershock” by the Weidemer brothers, and you’ll understand that what I say is true.
Apple is currently trading at $1700 a share (pre-split)
@MacBill
Never say never! If Apple is making $100 billion per year in profits, it will be a trillion dollar company. Given Apple’s growth rates, that’s only a few years away. Apple’s market share in the markets in which it participates, plus untapped markets that it has yet to enter, make this a real possibility.
They could do it today. Just implement a 3-1 reverse stock split.
Not quite all there is to it.
The stock would then have to rise from $120 or so to $350 (+/-) again, but that’s not difficult the way it’s flying today.
Very old news. Altucher wrote about Apple to $1000 back in September of last year. Blodget is just trying to stir up hits. MDN shouldn’t be helping Blodget to turn a profit. BI are hacks.
So what, exactly, is wrong with profit, Ken? Only liberals and “progressives” abjure the unfettered exchange of goods and services between free consumers. Are you against that? Or do you think we’re simply not intelligent enough to make informed decisions in this matter?
^The last person on earth who hasn’t realized Ayn Rand was full of shit.
Someone’s awfully cranky today.
Huh, what? Why are you attacking me? I have 3000 shares of Apple now, I’d love for it to go to $1000. I was just pointing out that this story is old news, MDN probably had an article back when Altucher first wrote about Apple to $1000 in September. Now, Blodget is just a hit-whore, who tries to stir up Apple followers by writing provocative stories. I think it’s fair for me to let people know that, so that they can make intelligent and FULLY informed decisions. Why are you against that?
(sarcasm)
> Only liberals and “progressives” abjure the unfettered exchange of goods and services between free consumers.
Or alternatively those who favour the allocative efficiency of markets but consider that their continued effectiveness requires regulation. Check your premises!
Ok de Villiers, you have tried to impress and failed miserably. How many hours did it take to construct two sentences? go back to school!
A grand a share? I like that boy’s thinkin’.
Apple is going to the moon and is a1k stock no matter who says sun different. Anyone who knows the company and it’s DNA is used to the crap dished out to the contrary and is laughing all the way to the bank.
Apple is growing like crazy now, and may continue to do so for years. But it has to end sometime. There is no growth without limit (except, perhaps, the expanding universe), and massive growth is not necessarily a good thing. I love Apple products and what the company stands for, but I do not want Apple to become dominant over all things because corporations are ultimately concerned with their own survival and welfare, not ours. I am not ready for the United States of Apple. But a $T or so? Sure.
Haven’t you heard?
Apple opened its largest store yet in Alpha Centauri.
Now where’s the link to that vid.
My point is that Apple will expand with the Universe.
Of of the most interesting details about Apple’s story is the opportunity for further growth. Despite Apple’s explosive increases in units and dollars, the universe of computer (including tablet) customers across the world still has Apple at a very small percentage. Same thing with mobile phones. And the TV universe has barely been touched. That is a lot of headroom for a company whose products are consistently the most desirable. Further, there is no reason to doubt the fountain of transcendent new products and upgrades will continue. All the while, Apple’s competition is in chaos, not knowing what to do other than try to copy last year’s iProducts.
Business Insider and Henry Blodget are ignorant, hit whores, usually able decipher sensible from garbage.
And MacBill, there is absolutely no reason in the world why Apple cannot become a 1, 2 or 3 trillion dollar company.
In fact, it’s highly likely.
The stock had better start moving soon cos Apple have been doubling their profits the past several quarters with little discernible effect on the share price. That sort of growth can’t go on forever.
Unfortunately, the stock market and reality are often mutually exclusive.
Unfortunately, the stock market and reality are often mutually exclusive.