Apple shares rallied higher Monday after a pair of price target increases from Wall Street analysts Wedbush and Deutsche Bank as the world’s most valuable tech company ascends towards an unprecedented $2 trillion market valuation.
Wedbush Securities’ Dan Ives, a longtime Apple bull, boosted his price target on the tech giant to $515 per share, a $35 improvement from his prior estimate and the highest on Wall Street, arguing that the market is underestimating the buildup in consumer demand for its next product cycle, which he anticipates will consist entirely of 5G compatible devices.
Deutsche Bank analyst Jeriel Ong also raised its price target by $40, to $480 per share, calling it “one of the highest quality stocks in our coverage.”
While the soft macro and COVID backdrop are weighing on near-term consumer demand trends, Apple has a “once in a decade” opportunity over the next 12 to 18 months as we estimate roughly 350 million of Cupertino’s 950 million iPhones worldwide are in the window of an upgrade opportunity. Taking a step back we believe iPhone 12 represents the most significant product cycle for Cook & Co. since iPhone 6 in 2014 and will be another defining chapter in the Apple growth story looking ahead despite a softer consumer spending environment in our opinion.” — Daniel Ives, Wedbush Securities anaalyst
MacDailyNews Take: Shares of Apple are currently trading around $450 for market value of $1.92 trillion.