On Monday, BofA Global Research analyst Wamsi Mohan reiterated his “Buy” rating with a $300 price target and added AAPL stock to the firm’s best ideas list, giving Apple shares a boost.
Mohan pointed out in a research note that Apple has a stellar balance sheet, with about $200 billion in gross cash, and about $100 billion in net cash, or about $22 a share…
And the impact of COVID-19 on Apple’s business will be transitory, Mohan said. “Apple continues to enjoy competitive advantage with its ecosystem, App Store, large/captive installed base and brand value,” he wrote. He expects both an earnings recovery and multiple expansion from current levels.
MacDailyNews Take: As we wrote earlier this morning, “Apple’s cash-rich coffers are a testament to AAPL’s surprising strength.” As we endure the COVID-19 pandemic, investors who are looking for stay-at-home plays are smartly investing in Apple.