One trillion dollars. That is soon going to be the worth of Apple Inc. According to analysts (via MacRumors), it is possible that within the next 12 months, Apple could become the only company in the world worth that much.
“Before the start of trading today, Apple was selling at around $175 a share, making its current valuation at about $900 billion. For the company to hit that lofty trillion, Apple would only need to add another $20 per share to hit $195. A few analysts think that is entirely within reach,” Neowin reports.
While the demand for the Apple iPhone 8 is one reason, a BGR report states “because Berkshire Hathaway (of Warren Buffet fame) more than doubled its investment in Apple over the past few months.” The publication reports that during the last quarter alone, Berkshire Hathaway’s holdings in Apple increased from $7.1 billion to $19.2 billion. ALSO READ: Apple hiring more diverse workers but women
Further, some analysts also believe that beyond that $800 billion mark, Apple shares may climb even higher. Analyst Brian White of Drexel Hamilton, who is perhaps the biggest Apple advocate, as reported by Neowin, is confident that Apple’s stock price will rise sufficiently high as to give Apple a trillion dollar market cap.
He says, “In our view, Apple’s quarterly results will be less important this summer as investors are focused on the iPhone 8 this fall, along with the company’s raised capital distribution initiative, depressed valuation and potential new innovations. We believe Apple remains among the most underappreciated stocks in the world (11.3x our CY:18 EPS estimate, ex-cash).” ALSO READ: Apple acquires image sensor startup InVisage: Report
The company does seem to be running in the direction it needs to. According to a Canalys report, Apple shipped a total 46.7 million smartphones in the third quarter of 2017, with its iPhone 7 topping the overall charts with a total of 13 million shipments. ALSO READ: Apple acquires image sensor startup InVisage: Report