Apple is $100 Billion Away From Becoming World’s Only Trillion Dollar Company

Apple shares are currently trading for around $175, giving the iPhone maker a market cap of roughly $900 billion. The valuation puts Apple within $100 billion of becoming the world's only trillion dollar company.


Apple shares will have to rise to around the $195 mark for the company to reach a trillion dollar valuation, depending on the rate of its share buybacks, and an increasing number of Wall Street analysts think that will happen.

Drexel Hamilton analyst Brian White, who is extremely bullish about Apple, has a lofty 12-month price target of $235 for the company's stock. In other words, he forecasts that Apple could be a $1.2 trillion company within a year.
With a market cap of over $900 billion, we believe Apple is on its way to becoming a "trillion dollar baby" as reflected in our price target. We were the first on Wall Street to project that Apple would reach a $1 trillion market cap as reflected by a price target; our current price target of $235.00 equates to approximately a $1.2 trillion market cap.
RBC Capital Markets analyst Amit Daryanani has also said Apple has the potential to achieve a trillion dollar market cap, and even surpass that valuation, by the end of 2018. His current price target for Apple shares is $190.

Apple could be the world's only trillion dollar company, but it wouldn't be the first. The spice trading Dutch East India Company, founded in 1602, was the first to go public and at one point was valued at over $7 trillion when adjusted for inflation.

Wall Street analysts, including White, have been prognosticating Apple becoming a trillion dollar company since as early as 2012.


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Wall Street Analyst Says ‘Buy the Dip’ After Apple’s Stock Price Steadily Declines in September

Since hitting an all-time high of $164.94 on September 1, Apple's stock price has steadily declined throughout the month. Apple's closing price of $150.55 on Monday represents a nearly nine percent decline in just under four weeks.


Despite some negativity surrounding the stock, one Wall Street analyst believes the recent skid is a buying opportunity.

"We believe concerns around the strength of this cycle are misplaced and we would be aggressive buyers of the stock during this correction," said Brian White, a longtime Apple analyst at investment banking firm Drexel Hamilton.


White believes the staggered launch of the iPhone 8 and iPhone X is confusing industry observers, who are perhaps worried by reports of shorter lines at Apple retail stores and lower adoption rates of the iPhone 8 and iPhone 8 Plus.

"We believe more consumers in the developed parts of the world will pass on the iPhone 8/8 Plus and buy the iPhone X," added White, in a research note obtained by MacRumors. "Those that are on the fence will likely wait to see the iPhone X."

White is one of the most bullish Apple analysts, with a lofty $208 price target for the iPhone maker. If the price were to rise that high, Apple would be over a trillion dollar company based on market capitalization.

Raymond James analyst Tavis McCourt also said Apple's recent pullback is a "trading opportunity." His survey indicated there could be higher demand for the iPhone X than the firm initially anticipated.

Apple's slide has held back the Dow Jones, which is still up around 1.5 percent since the start of September. But it's not the only tech stock in the red, as Amazon, Facebook, and Netflix all declined Monday.

By comparison, Apple's stock price was up nearly 5 percent over this same period in each of the past two years.

Apple is up over 1 percent in early market trading today.


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