The Apple tree reaches new heights
by heathercrawford ~ October 22nd, 2010. Filed under: Comm 101.
On October 13th, Apple Inc. shares traded above US$300 for the first time in company history. This rise has brought attention to many analysts who are trying to predict the price target, the projected price level, as Apple continues to expand its market share on the financial market. This growth has been as a result of the launch of Apple’s iPhone, App Store, iPad, and the relaunch of Apple TV, adding to the company’s total addressable market for hardware, content, and services. Roughly this expansion is estimated to be around a $1.49 trillion increase from the previous $400 billion. If Apple continues to provide innovative products and content Apple will soon become the most valuable corporate entity on Earth. As a stable and growing company is it easy to understand why Apple’s price target is increasing, as people want to buy secure stock after the 2009 meltdown of the economy. Analyst Daniel Ernst has estimated the price target of Apple to be around $500, while Maynard Um has made a less radical estimate of $350 per share. Returns should be high if Apple meets these expectations. Analyst and stockholders will just have to wait and see if Apple will meet or exceed these expectations.