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08.04.2021 09:40 AM
Apple shares are surging again. Experts predict the company's revenue growth in 2021

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The shares of large technology companies show almost constant growth in the long term. It is true there are periods of stagnation, but in general, the value is growing, as is the US stock market and its key indices. One of these ever-growing companies is Apple. Its market capitalization is already more than $2 trillion, making it the largest company in the world. Naturally, this status and the annual increase in revenue attracts more and more new investors, despite the fact that the nominal return on shares is very low. However, as mentioned earlier, many investors buy shares of large companies not for the purpose of earning money, but for the purpose of saving money. For quick earnings, you need to be a speculator and choose the most speculative instruments, for example, cryptocurrencies. Stocks are more about long-term investing. Therefore, if we remove all the concerns about the "bubble" in the stock market, it can be said that Apple shares will continue to grow in the long term. If a dozen years ago the company made money exclusively on the iPhone, now the segments of wearable gadgets and various services also bring substantial revenue.

Thus, if the number of iPhones sold annually in the world may sooner or later stop, since the upper limit of demand still exists (people do not need two or three smartphones), then the market for various services has huge potential and is still considered quite raw (many people have iPhones, but few use various paid services from Apple and purchase other wearable gadgets). So in the future, it is the non-iPhone segments that can bring Apple the lion's share of revenue. Moreover, the company has already hinted at a possible entry into the electric car market. Accordingly, if 5 or 10 years ago, the decline in iPhone sales could cause a negative reaction from investors, now no one will even be particularly upset if the company sells fewer smartphones in a single year than a year earlier. Most analysts expect the company's revenue to grow again in 2021, and the figures are from 13% to 22%. With such forecasts and against the background of the recovery of the American and global economies, only a further increase is expected in the value of the shares of the "Apple" company.

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Apple's stocks have been rising in price for the past five trading days. The price increased from $120 to $127.86 per share. This movement allowed the quotes to gain a foothold above the Ichimoku cloud on the 4-hour timeframe, which significantly increases the likelihood of further growth. Unlike Tesla, which has risen in price 10 times over the crisis year of 2020, Apple is growing evenly. Its profits are growing, sales are growing, and revenue from other non-iPhone business segments is growing. The clear path of the company is visible and the growth of its shares does not cause any surprise. Tesla, on the other hand, is not even in the Top 10 among automakers in terms of car sales, but its capitalization is higher than that of all these automakers combined. Naturally, if we talk about the overbought and unfounded current price, it is about the shares of Tesla, not Apple. The nearest target for Apple shares is the $130.41 resistance level.

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