(News Bulletin 247) – Apple shares rose on the New York Stock Exchange on Monday thanks to a positive recommendation issued by analysts at Goldman Sachs.
A few minutes after the opening, the action of the Californian technological giant advanced by 2.6%, signing the second strongest rise of a Nasdaq 100 index itself up by 0.4%.
In a note published in the morning, Goldman’s teams indicate that they have initiated coverage of the stock with a buy recommendation and a 12-month price target of 199 dollars.
The New York-based bank believes that Apple’s success is due to quality positioning and brand loyalty that have allowed it to grow its user base.
This phenomenon gives it, according to the Wall Street firm, good visibility in terms of the growth trajectory of its turnover by limiting the departure of customers, reducing the cost of acquisition new users and encouraging the purchase of new devices.
According to Goldman, this installed base – combined with the growth posted by the company in services – should more than offset the factors penalizing its business, such as longer replacement cycles or the slowdown in the market for computers and tablets.
The bank also mentions an ‘attractive’ level of valuation both in absolute and relative terms and in comparison with other large groups with similar activity.
Analysts say the vast majority of Apple’s profit growth over the next five years is expected to be driven by its services business, which should take gross margin in the business to 40% by 2027, from 33%. % in 2022, a dynamic which, according to them, justifies the existence of a valuation premium.
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