May 1, 2017

Apple Targeted to Hit $1 Trillion Soon

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One of the most successful companies in American history is Apple. Apple, which is the popular producer of iPhones, iPads, computers, and a variety of other products and accessories, has continued to impress consumers and investors. Over the past few years they have broken a lot of records for American companies, including having the most profitable quarter ever.

 

At the time of the Presidential election, Apple had a per share price of around $109 per share. At that time the company also had a market capitalization and value of around $573 billion. Once the company had crossed the $500 billion value, many financial experts started predicting how and when Apple could cross the $1 trillion value, which is something no American company had ever done before. While it used to believe that it would take a long time to reach that milestone, a recent news article (https://fortune.com/2017/03/31/apple-trillion-dollar-company/) has pointed out that the milestone could be reached quicker than ever before.

 

Over the past few months, Apple has benefited from the Trump Bump that has led to value increases for many American companies. Today, the company has a per share price of around $144 and has a market cap of around $750 billion. While the new increase in stock value has been significant, many are predicting when Apple could increase to $1 trillion in value.

 

Apple is currently trading around a price to earnings ratio of 17 to 1. While this is a high mark, it is by no means out of line with other companies. In fact, companies that trade at this level often have a 6.5% increase in its share value. At this rate, the company could hit the $1 trillion mark early in 2021.

 

Unlike other companies, Apple can see big increases in their value based on the popularity of their products. In the coming year Apple will unveil a new phone, iPad, and is reportedly going to be revealing new virtual reality products that should sell well with consumers. Depending on the success of these product launches, the company could end up hitting the milestone even sooner.

 

 

Category : AppleTech Companies

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