The newest reason that even at a nearly $2 trillion market cap, the tech giant’s stock may still be undervalued? Apple is working on unveiling a ‘bundle’ of Apple services for one low price this fall.
Brian Sozzi for Yahoo Finance:
“I think traditionally, Apple’s stock has always been undervalued,” veteran tech analyst Rene Richie told Yahoo Finance’s The First Trade. “We saw them reach their goal of doubling revenue from services early. And it seems that still has running room for them. And as we approach things like augmented reality glasses, all of these services, that’s a greater service for all the value they can tap into.”
If the latest speculation on Apple holds true, it could be well down the path of doubling its revenue from services again in the not too distant future.
Any service bundle would inject a fresh, recurring revenue stream into Apple. And it would come at the time of potentially the introduction of Apple’s first suite of 5G iPhones. Couple these two growth drivers together, and Wall Street may soon be tripping over themselves to mark up their earnings estimates on Apple for the next several years.
MacDailyNews Take: Yup.
Apple deserves to be worth considerably more than $2 trillion. The company remains significantly undervalued. — MacDailyNews, August 10, 2020
Trillion, schmillion. Over time, Apple will go much higher than that. The company is currently horribly undervalued. – MacDailyNews, March 1, 2018