Hopes are high that shares of Apple Inc. (NASDAQ:AAPL) are set to appreciate even more. Even after the stock of the Cupertino, California-based tech giant opened at a record high, some analysts are optimistic that substantial upside potential still remains.
Steven Milunovich, an analyst at UBS, estimates that the share price of Apple could rise to $200 in the next couple of years. This will be driven largely by new products such as the iPhone 8 which Milunovich expects to be a major upgrade and will thus force hordes of customers to buy it. The UBS analysts also expects other Apple products such as AirPods and the Apple Watch to continue exhibiting decent growth.
More to come
In an interview with CNBC, another analyst, Gene Munster, also expressed optimism that shares of Apple were yet to hit their optimal level.
“Our range is $180 to $200,” Munster said before adding that it will be easy for Apple to continue reporting revenue growth in the next couple of quarters because of lackluster results in the recent past.
Munster who works at Loup Ventures advised that it was an opportune time to purchase Apple shares because there was a lot of enthusiasm over the iPhone and then sell after the much-speculated-about smartphone has been released.
On course for the $1 trillion mark
Since May last year, Apple’s stock has been on a recovery path having fallen to $90 at one point. Having appreciated by almost 60% since that low, the market capitalization of the world’s most valuable company is now over $750 billion. Unless there will be buybacks, if the stock hits the anticipated price of $200, the market capitalization of Apple will exceed $1 trillion.
Yet another analyst who concurs that Apple’s upside potential still remains is Drexel Hamilton’s Brian White who has a buy rating on Apple and has set $185 as the price target. White suggested that Samsung’s missteps have been to Apple’s advantage and pointed out that the stock of the iPhone maker was one of the world’s most underappreciated.
On Wednesday shares of Apple Inc edged up by 0.22% to close the day at $144.12.