Apple Inc.’s stock could reach a market capitalization of $3 trillion, analysts say, mentioning the development of the Apple Car in addition to high expectations for another iPhone. Developing the Apple Car could raise the company’s earnings by 10% to 15 percent after 2024, Citigroup Inc. analyst Jim Suva wrote in a note on Friday.
By 2025, he anticipates the global electric vehicles marketplace to outgrow the combined market for smartphones, PCs, tablet computers, and wearables. Wedbush analyst Daniel Ives, whose price target for Apple is a Street-high $175, also sees a $3 trillion evaluation on the horizon. In a note on Wednesday, he called recent declines in the stock a”gold buying opportunity,” expecting the upcoming iPhone 13 to be a”game-changer,” with supply chain data pointing to higher output rates than for the previous generation.
Apple’s shares have slid around 17% since reaching a record high at the end of January amid a turning from high-tech stocks. They declined 1.8% in early trading on Friday as worries over rising bond yields reach the technology sector more broadly. Citigroup Inc. and Wedbush see the potential for the tech giant to hit the milestone, an increase that implies an almost 50% surge in Thursday’s close. With a market cap of roughly $2 trillion currently, Apple is currently the most precious stock in the world.