“Apple Inc. has been one of the best performing stocks over the past decade, and could even arguably be considered the most successful company in history,” Victor Dergunov writes for Seeking Alpha. “Since bottoming out in 2008 at a split adjusted $12 a share, the stock has skyrocketed by more than 1,300% over the last nine years, and now holds the top spot in market cap value over any other publicly traded company in the world. Right now, Apple’s market value stands at roughly $895 billion, and given that the company trades at a relatively low P/E ratio, has a favorable market position, and is likely to continue to deliver double-digit growth, Apple could very well become the first publicly traded company to be valued at a trillion dollars.”
“Services revenue came in at $8.5 billion in Q4, and hit an impressive $30 billion for full fiscal year 2017. Moreover, Tim Cook said the company is well on its way to achieving its projected $50 billion sales target by 2020 in its services segment,” Dergunov writes. “Diversifying revenues from the iPhone is tremendously important for Apple, as this makes the company a true powerhouse in the technology industry instead of simply a predominant smartphone manufacturer.”
“The Macintosh unit is performing stronger than ever, and Mac revenues surged by 25% yoy in the last quarter. Moreover, the unit was responsible for 13.64% of total Apple sales, up from just 12.25% in Q4 2016… as consumers continue to expect great products, gravitation towards Mac computers should continue going forward,” Dergunov writes. “Based on the fundamental statistics, Apple is extremely cheap right now. The company has a double-digit growth rate, provides a dividend, and is trading at just 15 times next year’s average EPS estimates. This essentially makes Apple one of the cheapest stocks in the S&P 500 on a relative basis, given that the S&P 500’s P/E ratio is roughly 25.”
Read more in the full article here.
MacDailyNews Take: Apple remains amazingly undervalued and water is wet.
Maybe when Apple’s market cap hits $1 trillion, the jolt will wake up Mr. Market?
Would that Steve were here to see Apple achieve a trillion-dollar market value!
SEE ALSO:
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