According to analyst Matt Krantz, Apple could be the first Trillion Dollar company in as little as three years time.
Krantz analyzed Apple’s growth over the last number of years and he is pretty confident that Apple will hit the impressive milestone.
Shares of electronic gadget maker, Apple (AAPL), continue to outperform even the wildest expectations. Apple’s stock has rocketed more than 300% since the end of 2008 as consumers open their wallets to buy and upgrade to the latest smartphones and computers.
Apple stock rose 18% in 2006, 133% in 2007, it fell 56% in 2008, but then added 147% in 09 and 53% in 2010. Taking the geometric mean, we get a rough average increase of 59% a year. If the average 59% annual growth rate of Apple’s stock continues, the company could be worth $1 trillion in as little as three years. That’s the optimistic case.
Apple shares are currently trading at $336.13 and are expected to be worth $430 in 12 month’s time. An increase of 28%.