Gene Munster: Apple shares will more than double in three years

“Despite a strong start to the year, Apple is ending 2018 on something of a sour note,” Danny Vena writes for The Motley Fool. “The company hit a $1 trillion market cap in August, becoming the first U.S. company in history to achieve that benchmark. However, since hitting an all-time high in early October, shares of the iPhone maker have lost more than 25% of their value, due to fears of slowing iPhone sales and a possible trade war with China.”
“Gene Munster should be no stranger to longtime Apple investors, having covered the company since 2004,” Vena writes. “He has a bold prediction. As investors fully grasp Apple’s shift from being a hardware-centric company to being a services-focused one, Munster believes that Apple stock will reach $350 — more than double its Friday closing price of $165.48 — thereby adding nearly $1 trillion in market cap from its current level.”
“Apple’s business is one that investors don’t ‘need to sweat every quarter,’ according to Munster,” Vena writes. “Legendary investor Warren Buffett shares a similar view. In an interview earlier this year, the Oracle of Omaha said of investing in Apple: ‘Nobody buys a farm based on whether they think it’s going to rain next year or not. They buy it because they think it’s a good investment over 10 or 20 years… The idea of spending loads of time trying to guess how many iPhone X [units] are going to be sold in a given three-month period… to me, it totally misses the point.'”
Read more in the full article here.
MacDailyNews Take: From your lips, Gene, to Mr. Market’s ears!
SEE ALSO:
Morgan Stanley projects Apple’s Services revenue to grow to $100 billion by 2023 – November 29, 2018
The pessimism and hypocrisy surrounding Apple is endless – November 28, 2018
In the darkest hour of Apple’s ‘white-knuckle period,’ some investors are loving it – November 21, 2018
Poor news curation at Bloomberg, CNBC, Reuters created misleading iPhone supply chain panic – November 19, 2018
Misreading Apple’s supply chain and iPhone XR demand – November 15, 2018
Apple: Ignore the noise – November 14, 2018
[Thanks to MacDailyNews Reader “Arline M.” for the heads up.]