The Next Apple Stock Could Be From Green Energy or Tech
“All of that causes uncertainty, and that’s the enemy of investment and broader economic growth, which are the kinds of things we want in the economy.” Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system. However, he further cautioned that strong June quarter sales could imply slow demand in the September quarter.
“E-commerce is not slowing down and Shopify’s platform takes the pulse of entrepreneurs and businesses starting and scaling online. Its strong ecosystem and innovation capabilities make it one of the top stocks,” said Ameed Alachi, CEO and founder of NFC Tagify. On June 28, Oppenheimer analyst Martin Yang gave Apple stock a boost, reiterating his Outperform rating, but more importantly, raising his price target by 25% to $250. You won’t find a more ravenous customer base than those of Apple, and collectively they drove AAPL stock price through the roof. This cool technology brand changed the world for a generation, releasing iconic products like the Macintosh computer, iTunes, iPod, and iPhone.
Market Sentiment And Analyst Forecasts For 2025
The shares currently trade approximately 12% below their contrary to opinion, week appears, ultimately, a long time all-time high reached in Q2 2024, creating what some analysts view as a buying opportunity. The recent correction has compressed Apple’s forward P/E ratio from 32x to 28x, which remains above the S&P 500 average but below many high-growth technology peers. AAPL shares have delivered a 175% total return over the past five years, significantly outperforming the S&P 500’s 89% gain during the same period. Apple’s recurring revenue streams, like its growing services segment (eg, iCloud, Apple Music), and periodic product cycles (eg, new iPhone or Mac launches) make it potentially attractive for longer-term positions. Fundamental analysis, including discounted cash flow (DCF) or valuation multiples, can help assess its intrinsic value.
Brand Loyalty And Ecosystem Strength
Nvidia is also an innovation leader, which makes it a worthy contender to become the next Apple stock. Just like new Apple products, new Tesla cars also attract a lot of interest from buyers. Both Apple and Tesla offer premium products, a strong brand, and attractive value proposition, which helps them command higher margins than their peers.
Recent performance and current value
The Company’s registered office is at #3 Bayside Executive Park, Blake Road and West Bay Street, P. O. Box CB 13012, Nassau, The Bahamas. No representation or warranty is given as to the accuracy or completeness of the information provided. Markettalkz estimates that AAPL will hit a high of $358.63 in 2026, driven by the launch of an updated iPad Pro model, expansion of the HomePod lineup, and the popularity of Apple Pay in developing countries.
In the long-term, Airbnb’s success will depend on the uncertain future of the travel industry, but if you are optimistic about that future, you now have the opportunity to buy Airbnb’s stock. “We expect Apple Intelligence to produce even stronger synergies between different Apple hardware products. Better hardware synergy enables Apple to create a wider and deeper moat once a user enters the ecosystem through iPhone, Mac, iPad, or Apple TV,” Wang wrote. Analysts tend to be the last people to buy into a new corporate strategy, so it’s not worrisome that the target isn’t higher. The problem is that smartphones are a mature tech platform no longer capable of wowing customers with massive improvements.
Is Apple a good long-term investment?
The current dividend of $0.96 annually represents just a 0.5% yield, significantly below the S&P 500 average of 1.5%. However, Apple has increased its dividends for 11 consecutive years, with a 5-year dividend growth rate of 6.2% annually. According to recent consumer surveys, Apple has cultivated perhaps the most potent brand loyalty in consumer technology, with iPhone retention rates consistently exceeding 90%.
- “We believe that Apple’s introduction of Apple Intelligence will position the company as the leader in the consumer AI experience,” Investor’s Business Daily reported Yang’s comments to Oppenheimer clients.
- However, just like with any financial asset, it is crucial to thoughtfully consider both the risks and the potential rewards before making a decision.
- HomeKit is Apple’s self-contained smart-home ecosystem that lets you use your Mac and iPhone/iPad devices to control your lights, TV, and other smart appliances.
- Apple has grown revenue at an 8% rate the past five years, and carries a very manageable debt to equity ratio of less than 2.0.
- According to recent consumer surveys, Apple has cultivated perhaps the most potent brand loyalty in consumer technology, with iPhone retention rates consistently exceeding 90%.
By contrast, 2023 saw recovery, with shares gaining 48% year to date by year-end. Apple went public on 12 December 1980 at $22 per share, equivalent to $0.10 on a split-adjusted basis after five stock splits. Since then, the company has become a cornerstone of the tech industry, achieving milestones that reflect its remarkable growth. AI has become a central theme in the tech industry, and Apple is strategically adopting AI to enhance user experiences, such as improving Siri or implementing machine learning in iPhone cameras. However, Apple’s relatively cautious approach compared to competitors like Microsoft or Alphabet could influence perceptions of its long-term AI strategy. Additionally, the broader shift toward sustainable technology impacts Apple’s supply chain and product design, appealing to environmentally conscious investors.
Here are the four stocks to invest in if you want a crack at the next $2 trillion company. Buyers of both Apple and Tesla products swear by their quality while they remain an aspirational product for many buyers. Competitors have also been trying to mimic their products but haven’t been very successful. The tech ecosystem is even more diverse and autonomous driving, AI, digital advertising, blockchain, cloud, and cybersecurity look like themes worth betting on. Metaverse is another emerging industry but it’s still in the nascent stages. Looking forward, tech and green energy look like the two most promising industries for the next two decades.
The average PEG ratio for the Computer – Micro Computers industry stood at 1.53 at the close of the market yesterday. The investment community will be closely monitoring the performance of Apple in its forthcoming earnings report. The company is expected to report EPS of $1.41, up 0.71% from the prior-year quarter. Meanwhile, the latest consensus estimate predicts the revenue to be $88.31 billion, indicating a 2.95% increase compared to the same quarter of the previous year. Nvidia has been a tech market leader for years now and its growth seems unstoppable.
Is AAPL forecast to generate an efficient return on assets?
- Apple Inc. (#AAPL) continues to stand out as an appealing investment opportunity thanks to its strong brand, diversified business model, and unwavering commitment to innovation.
- It’s also important to note that AAPL currently trades at a PEG ratio of 2.25.
- However, iPads, Mac computers, watches, streaming video and the entire service component are also critical to the company’s continued growth.
- First, he thinks “a modest number” of trade agreements will be finalized before the deadline.
- These challenges represent essential considerations for long-term investors.
Nvidia is another stock that has the potential to become the next Apple. While Nvidia stock has come off its 52-week highs and lost the title of the world’s most valuable semiconductor company, one can never write it off. The stock has delivered CAGR returns of 47 percent over the last 10 years, which looks astonishing. Alphabet also has exposure to autonomous driving with its Waymo subsidiary. As the global economy continues to digitize, Alphabet is one stock that would stand to benefit. The company has a reasonable chance of challenging Apple’s dominance at the top and could become the next Apple stock if things go well.
This loyalty stems from the company’s ecosystem strategy – the seamless integration between devices, software and services creates significant switching costs for consumers. Once users invest in multiple Apple products and services, migrating to competitors becomes increasingly inconvenient and costly. Apple’s strategic shift toward services has dramatically improved its revenue predictability and profit margins. Services generate gross margins exceeding 70%, significantly higher than the company’s hardware segment at approximately 35%. We all know that Apple’s vertically integrated hardware, software and services ecosystem has revolutionized consumer technology. This hardware-first approach has evolved significantly, with services now contributing over 25% of revenue through offerings like the App Store, Apple Music, Apple TV+, iCloud, Apple Pay and the Apple Card.
The Portal is more popular than ever now that video calls are commonplace. Facebook also owns Oculus, which extends its reach and ecosystem into the $18.8 billion virtual reality market. Tesla’s September 22 “Battery Day” is the place Musk plans to discuss how the company will continue beating the odds post-coronavirus. In fact, Tesla founder, CEO, and 20-percent owner Elon Musk follows a lot of Steve Jobs’ ideals regarding aesthetics, a closed ecosystem, and other signature Apple business moves. Please bear with us as we address this and restore your personalized lists.
LiteFinance Global LLC does not provide services to residents of the EEA countries, USA, Israel, Russia, and some other countries. CoinPriceForecast maintains an optimistic outlook for Apple shares, expecting the price to skyrocket to $489. Markettalkz expects AAPL’s highest price to hit $412.30 by 2028 due to the introduction of augmented reality technology in MacBooks and improvements to spatial audio in AirPods Pro. Whether it’s mastering cutting-edge strategies, uncovering actionable investment opportunities from influential leaders, or breaking down complex topics, our in-depth journalism has you covered.