HACKINTOSH.ORG | Macintosh discussion forums

Bullish Analyst Says Apple Has Potential to Become Trillion Dollar Company Within 18 Months

<img src="(http://cdn.macrumors.com/article-new/2016/09/apple-red-logo.jpg)" alt="" width="240" height="265" class="alignright size-full wp-image-522476" />Apple has the potential to become a trillion dollar company by 2019, according to RBC Capital Markets analyst Amit Daryanani.





In a research note on Monday, Daryanani said Apple could reach or exceed a trillion dollar market cap within the next 12 to 18 months.





An excerpt from Daryanani's research note, edited slightly for clarity:

In aggregate, we see a scenario where in the 2019 fiscal year, Apple sustains $12+ earnings per share and, assuming the valuation frameworks remains stable/improves, it should get AAPL stock toward $192–$195, which would equate to a market cap above $1 trillion.

Daryanani believes the so-called "iPhone 8 (https://www.macrumors.com/roundup/iphone-8/)" and the upgrade supercycle (https://www.macrumors.com/2017/05/03/aapl-forecast-3q17/) it's expected to drive will be a major catalyst towards Apple's path to a trillion dollar valuation. Looking further ahead, he thinks there is potential for Apple to continue growing its Services category revenue by double digits year over year.

Longer-term, we think there is potential for Apple to continue growing Services revenue by double digit year-over-year given the company's expanding installed base [

of devices], increasing App Store (https://www.macrumors.com/roundup/app-store/) sales within the current installed base, demand for cloud storage/compute services, and further adoption of Apple Pay (https://www.macrumors.com/roundup/apple-pay/).Apple's Services category brought in $7.17 billion (https://www.macrumors.com/2017/01/31/apple-services-revenue-grows-18-percent/) last quarter, from $6 billion in the year-ago quarter, representing 18 percent year-over-year growth. Apple CEO Tim Cook (https://www.macrumors.com/roundup/tim-cook/) said the Services category is already the size of a Fortune 100 company, with hopes to double the category's revenue by 2020.





Earlier this month, Apple's market cap surpassed the $800 billion mark (https://www.macrumors.com/2017/05/08/apple-nears-800-billion-market-cap/) for the first time ever as the company's shares traded above $153. RBC has raised its Apple stock price target to $168, up from $157, given the upside it anticipates from the iPhone 8 and increasing services-related revenue.





Wall Street analyst Brian White also raised his 12-month price target (https://www.macrumors.com/2017/05/08/apple-nears-800-billion-market-cap/) for Apple's stock to $202, up from $185, earlier this month. White believes Apple "remains among the most underappreciated stocks in the world," and his bullish price target suggests the company could be valued at a trillion dollars within the next year.

<div class="linkback">Tags: RBC Capital Markets (https://www.macrumors.com/roundup/rbc-capital-markets/), Amit Daryanani (https://www.macrumors.com/roundup/amit-daryanani/), AAPL (https://www.macrumors.com/roundup/aapl/) </div>
Discuss this article (https://forums.macrumors.com/threads/apple-trillion-dollar-company-18-months.2046680/) in our forums

<div class="feedflare">
<img src="http://feeds.feedburner.com/~ff/MacRumors-Front?d=yIl2AUoC8zA" border="0"></img> (http://feeds.macrumors.com/~ff/MacRumors-Front?a=el-qRrkeiwY:QmIHJa9herU:yIl2AUoC8zA) <img src="http://feeds.feedburner.com/~ff/MacRumors-Front?d=6W8y8wAjSf4" border="0"></img> (http://feeds.macrumors.com/~ff/MacRumors-Front?a=el-qRrkeiwY:QmIHJa9herU:6W8y8wAjSf4) <img src="http://feeds.feedburner.com/~ff/MacRumors-Front?d=qj6IDK7rITs" border="0"></img> (http://feeds.macrumors.com/~ff/MacRumors-Front?a=el-qRrkeiwY:QmIHJa9herU:qj6IDK7rITs)
</div><img src="http://feeds.feedburner.com/~r/MacRumors-Front/~4/el-qRrkeiwY" height="1" width="1" alt=""/>

Source: Bullish Analyst Says Apple Has Potential to Become Trillion Dollar Company Within 18 Months (https://www.macrumors.com/2017/05/22/apple-trillion-dollar-company-18-months/)