Apple Inc. (NASDAQ:AAPL)’s Market Cap To Hit $1 Trillion, Forecasts Analyst

Amidst the news of Apple Watch hitting the markets soon, Cantor’s analyst Brian White increased his price target on Apple Inc. (NASDAQ:AAPL) shares to $180 from $160 which, if attained, would amount to a market capitalization of more than $1 Trillion. White, having predicted the highest price goal on Wall Street, has maintained his Buy rating on the stock.

China a catalyst for the stock

The potential of the iPhone maker to come about as a trillion dollar company was first acknowledged by public, when its shares acquired new highs, surmounting the $700 billion market cap, last month. Currently, Apple’s stock trades at $127 per share equating giving it a market cap of $744 billion. And, now, White is expecting this to expand to $1 trillion. The analyst quoted the upcoming Apple Watch, along with certain media reports that mentioned new areas of innovation such as electric car, as some of the reasons for his optimism.

In addition, he considered the company’s iPhone portfolio in China, which is expected to profit from forthcoming upgrade cycle and growing 4G network, and claimed that Apple Inc. (NASDAQ:AAPL) will persist to return money to the shareholders. In line with this, White asserted, “We believe the combination of these forces will drive the market to reward Apple’s stock with an expanded P/E multiple.”

Opportunities ahead for Apple

Apple Watch is expected to contribute sales of $20.6 million in the first year followed by $25.1 million in 2016. Further, car business proposes a $549 billion opportunity for the company, believes White. Also, the analyst reckons that Apple Inc. (NASDAQ:AAPL) could potentially acquire 15-20% of the mobile subscribers in China, which would result in the iPhone gaining $133-$178 billion of revenue for the firm.

However, whatever the figures may be, White’s assumption about Apple’s growth could stand true, considering the market’s general opinion. According to data submitted by Bloomberg, 70.7% of the analysts have buy ratings on Apple. The average 12-month price target for the stock is $140.08, which is still a long way from White’s forecasted price of $180.

On Monday, Apple shares closed up 1.04% to $127.21, and year to date the stock is up over 13%.