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Wedbush analyst Dan Ives raised his price target for Apple shares to $325, anticipating a “golden era of growth” for the tech giant in 2025, as quoted on Yahoo Finance.
Thanks to the combination of capital appreciation for the stock and cash returned directly to shareholders through dividend payments, Apple has delivered a total return of 885% over the last decade. That means that a $1,000 investment in the tech giant in late 2014 would now be worth almost $10,000.
Despite headwinds, its strong brand loyalty and continuous innovation efforts position it well for long-term growth. Apple's Services revenue reached an all-time high of $25 billion in FQ4 2024, a 12% year-over-year increase, particularly attributed to the App Store.
Investors should temper expectations
Wall Street consensus analyst estimates point to revenue and earnings per share increasing at compound annual rates of 7% and 10.6%, respectively, between fiscal 2024 and fiscal 2027. These are healthy growth rates, to be fair.
In 2025, analysts anticipate a target price of around $250 — $300 per share for Apple in the middle of the year, potentially rising to approximately $500 by the year's end.
Apple long term stock forecast is anticipated to be $315 in 2025, $370 in 2026, $425 in 2027, $465 in 2028, and $480 in 2029. In 2030, analysts anticipate Apple shares will be worth $510.
Amazon joined the blue-chip Dow Jones Industrial Average earlier this year. Despite the stock's recent push to record highs, Wall Street analysts still see room to run for Amazon. Of the 72 stock analysts following Amazon, 94% have a buy rating, according to FactSet.
The Numbers on Apple Stock
Those gains translate to a 32.3% compound annual growth rate (CAGR) for Apple compared to an 8.3% CAGR for the S&P 500 in that time. That means that $10,000 in AAPL stock purchased 20 years ago would be worth more than $2.71 million today, assuming reinvested dividends.
The question of whether it's "too late" is subjective. While Apple's immense current valuation represents a higher entry point than in the past, its potential for continued growth in the coming decades remains significant.
So, if you had invested in Amazon ten years ago, you're likely feeling pretty good about your investment today. A $1000 investment made in December 2014 would be worth $14,983.08, or a gain of 1,398.31%, as of December 12, 2024, according to our calculations.
Apple (AAPL) hit its all-time high of 260.10 on Dec. 26, nearing a $4 trillion market cap valuation. But Apple stock has retreated since. On Monday, shares headed lower after triggering a sell signal on Friday by falling below the 50-day moving average in heavy volume.
We continue to see Apple as overvalued, as we believe there are growth headwinds to iPhone revenue in a mature smartphone market and with higher competition out of China. We expect iPhone revenue to return to growth in fiscal 2025 after a couple of weak years of growth.
Apple probably won't split its stock in 2024. The stock price today is about half what it was when the company announced its last split, a four-for-one exchange, in 2020. The company could initiate a two-for-one split to get back to the 2020 post-split trading price, but that strategy might fall flat with investors.
But if you were smart enough to invest $1,000 in Apple stock at the start of the year 2000, you'd be sitting on a monster gain of 21,230%. This means that modest investment would be worth a whopping $213,000 today (as of July 27).
Apple Stock Forecast
The 30 analysts with 12-month price forecasts for Apple stock have an average target of 243, with a low estimate of 180 and a high estimate of 325. The average target predicts an increase of 4.21% from the current stock price of 233.19.
Of the 47 analysts who recommended Amazon in June, 44 rated it a buy or a strong buy. Forecasters predict that Amazon will reach $200 per share a year from now and will continue to rise to $250 per share at the end of 2026. In 2027, the prediction is for a price of $300, and $250 by the end of 2028.