“Apple Inc. could close in on a trillion-dollar market capitalization next year — and if it does, it may have President Donald Trump to thank,” Barbara Kollmeyer reports for MarketWatch. “That’s according to a scenario laid out by analysts at RBC Capital Markets, who said Apple may turn out to be one of the biggest beneficiaries of the Trump administration’s planned U.S. tax changes.”

“‘While there are significant uncertainties around corporate tax reform, we think it could provide Apple EPS (earnings per share) a $4.00-4.50 tailwind and drive the stock closer to a trillion dollar market-cap scenario,’ said the RBC team in a note to clients,” Kollmeyer reports. “Late last month, Trump and top congressional Republicans proposed sharp cuts to tax rates on businesses and many individuals. Under the plan, the top corporate tax rate would be cut to 20% from 35%.”

“The bank said Apple shares are currently at an ‘attractive entry point for investors to benefit from its ability to return to revenue and EPS growth in FY217,’ adding that ‘multiple catalysts’ remain from such factors as iPhone ramps and product refreshes on its Macs and iPads,” Kollmeyer reports. “‘We believe the fundamental reality remains that AAPL’s valuation is materially subpar to what we anticipate is its long-term revenue and EPS potential,’ said RBC.”

Read more in the full article here.

MacDailyNews Take: Hopefully, sound tax reforms are enacted as soon as possible. Apple deserves to be the world’s first true trillion-dollar company.

SEE ALSO:
How Apple’s market cap could reach $1 trillion – August 30, 2017
RBC: Oh, yes, Apple is primed to be the first company to hit the $1 trillion market cap mark – August 9, 2017
Apple: First trillion dollar baby? – August 4, 2017
Why Apple’s market cap is going to $2 trillion – August 2, 2017
Analyst: Apple to become world’s first trillion dollar company within 12 months – July 7, 2017
How Apple’s market value gets to $1 trillion – May 23, 2017
Gene Munster: Why Apple deserves an historic trillion-dollar valuation – May 22, 2017
Analyst sees Apple’s market value at $1 trillion in a year – May 8, 2017
Apple’s path to first-ever $1 trillion market cap – March 7, 2017
Apple on track to become first ever $1 trillion company – February 17, 2017
Bernstein: Apple could be first to $1 trillion market value, propelled by services revenue – Cramer agrees – May 18, 2016
Apple would be worth $1 trillion if market valued it like Steve Jobs-run company – January 4, 2016
Analyst: How Apple’s market value hits $1 trillion in 2016 – November 10, 2015
Annual iPhone Upgrade Program could power Apple to become world’s first $1 trillion company – September 16, 2015
Analyst: Apple at $1 trillion in a year – May 11, 2015
Dream of $1 trillion valuation for Apple slips away – April 17, 2015
Second analyst sees Apple worth $1 trillion – April 17, 2015
Here’s how Apple gets to $1 trillion valuation in just 12 months – March 23, 2015
Apple eyes trillion-dollar market cap – February 24, 2015
Apple’s stock swoon just a blip on its way to being worth $1 trillion – December 2, 2014
Trillion-dollar baby: Can Apple go where company has gone before? – November 24, 2014
Is Apple about to be the first $1 trillion company? Carl Icahn says yes – November 18, 2014
Omega’s Einhorn: Apple’s market value could hit $1 trillion – November 18, 2014
Apple’s market value primed to go to $1 trillion, creating largest company in history – July 3, 2012
Apple at $1,111 per share with a $1 trillion market cap in the next year – April 26, 2012
Piper Jaffray ups Apple price target to $910; sees world’s first trillion-dollar market cap – April 3, 2012
How Apple can reach $2 trillion market value in 2016 – March 16, 2012
Apple: $1 trillion market cap inevitable? – February 21, 2012
Could Apple become world’s first trillion-dollar company? – January 28, 2012
Altucher: Apple will become a trillion-dollar company; $1,000 a share – May 3, 2011
Apple could become first $1 trillion company in as little as 36 months – April 14, 2011