As reported by CNBC, Gene Munster from Loup Ventures says that Apple hitting a $3 trillion market capitalization is in sight. This analysis comes after Apple, back in August, became the first publicly traded company in the United States to pass a $2 trillion market cap. As of Friday, Apple was valued at 2.3 trillion.
Munster says that Apple’s stock price would need to hit $200 a share, something that the analyst says is well within reason.
“It needs to be anchored in earnings. That’s the powerful piece about the Apple story … It’s a year out there but I’m fast-forwarding the conversation to the middle and back half of next year, and we’ll be talking about 2022 at that point. If the market can sustain these 35 multiples — you know, we’re not talking about an Amazon-like multiple here — I think that that path is there.”
Munster went on to say that, while the iPhone and the shift to 5G will propel sales, so will Macs and iPads as more people adopt remote working and learning.
“This is generally thought of as a play on iPhone, a 5G play. That’s good. That will impact the numbers in a positive way, but this acceleration of digital transformation, I think it’s powerful … People working from anywhere are going to be arming up in the next 12 to 24 months, buying more Macs, iPads, services.”
The investor says that Apple will once again lead other technology companies like Netflix and Amazon in 2021.
“I think for 2021, the performance is going to come again from Apple. It may seem tone deaf for a company to lead FAANG for three straight years, but I think that in fact will happen. I think this has a track to $200 [per share].”
The post Apple in sight of $3 trillion market cap according to Gene Munster appeared first on TechFans.