iPhone eventSource: Apple

What you need to know

  • Apple's stock this week reached new all-time highs.
  • But some analysts think there is still more growth to come.
  • A report has highlighted that analysts are still raising their target prices.

Apple analysts think that AAPL's record-breaking stock performance might not be over, raising their target prices and predicting even more growth.

As Bloomberg reports:

Apple Inc. analysts have grown more positive on the company's prospects, pointing to the upcoming launch of a 5G version of the iPhone, as well as continued growth in its services business. The stock has been in a strong uptrend for weeks, gaining nearly 60% off a March low and closing Wednesday at record levels. The gains have given Apple a market capitalization above $1.5 trillion, making it the largest U.S. stock.

As Bloomberg rightly notes, Apple became the first-ever $1.5 trillion company in U.S. history this week. However, analysts think it isn't done yet. According to the report, BofA analyst Wamsi Mohan raised their AAPL target price to a whopping $390, up from $340. Mohan said they expect Apple product revenue to grow "20% next year from iPhone and wearables."

Wells Fargo has also reportedly raised its target price citing a "solid post-COVID recover" and the anticipated 5G iPhone 12 lineup. HSBC was also specifically listed as a firm upgrading its rating of Apple stock from 'sell' to 'hold.' According to Bloomberg, 29 tracked firms rate Apple's stock as a 'buy' option, compared to just 12 holds and four which advocate selling. The average target price is $323, up from $305 at the end of April.