Topeka Capital’s Brian White on Tuesday said Apple could become “trillion-dollar baby,” as he disputed the view that the company’s stock would “finally roll over” once its market cap hit $500 billion.
Apple’s market valuation reached $623.5 billion on Monday, surpassing Microsoft Corp.’s 1999 peak of about $613 billion, according to data from FactSet.
The stock was last trading down 1.7% to $653.76, with the company’s market cap at $613 billion.
White noted how some analysts had “expressed growing concern that Apple would succumb to the $500 billion ‘market cap flu,’” he wrote. “We felt this was a fallacious argument and pointed out that investors should think of Apple’s market cap in terms of ‘trillions’ and not ‘billions.’”
Sterne Agee’s Shaw Wu said Apple is definitely within striking distance of the trillion-dollar mark, at the rate the company is growing and given its potential for growth.
“It’s definitely possible,” Wu said in an interview. “I don’t think they’ll do it within a year, but over the next three to four years, it’s possible.”