Apple’s market capitalization has topped $3 trillion, making it the world’s first publicly traded company to do so.
At 1:46 p.m. Eastern Time on Monday, the company’s stock briefly reached $182.86 in intraday trading. When that share price is multiplied by the number of outstanding shares, the market value exceeds $3 trillion, which is larger than the UK economy.
Since the beginning of 2020, Apple shares have increased by approximately 41.26 percent. On the other hand, on December 7, Morgan Stanley analyst Katy Huberty argued that the company’s shares were undervalued and raised her Apple target price to $200.
Huberty stated in her note that Apple’s stock price does not reflect upcoming innovations such as an AR/VR platform or the long-rumored “Apple Car.” Furthermore, she stated that the iPhone and App Store performance indicated that the company would benefit in the short term.
Back in 2020, the Cupertino-based tech behemoth was the first to cross the $2 trillion market valuation threshold.
Apple’s stock price was rising even before Huberty’s note. Apple’s stock closed at a record high in November, fueled by rumors about the development of a “Apple Car.” The company is thought to be in the midst of an iPhone upgrade cycle led by the iPhone 12 and iPhone 13.
At the same time as Huberty’s note, a supply chain report indicated that despite production cuts, iPhone demand remained strong. According to the report, Apple had asked suppliers to increase production in order to meet the high demand.
Wedbush forecasted on December 12 that the $3T barrier would be broken in 2022, citing strong holiday sales as a driver despite supply chain headwinds. A strong “iPhone super cycle” and the possibility of “Apple Glass” could add more dollars to its share price, increasing its valuation.
Wedbush maintained its 12-month price target of $200, which is the same as Huberty’s value.
JP Morgan raised its price target for Apple to $210 a day later, citing strong iPhone demand in early 2022. This was an increase over the $180 target set in August.
Apple is expected to release even more iPhone and M1 Mac models in early 2022, including a refreshed MacBook Air and an iPhone SE with 5G connectivity.
