Based on current trends, it is conservatively expected that Apple’s revenue growth rate will not exceed 4% in the next 10 years.
Editor’s note: This article is from Huasheng Securities, analyst Ollie Kangbayev, compiled Jay.
Source: Huasheng Securities
Apple is an e-consumer brand that everyone is very familiar with. There are a lot of investment in Apple, and there are many people like Buffett and Duan Yongping. Considering that the big guys have already got on the apples very early, many investors think that the current Apple has no high investment value, but this may not be the case. Recently, analyst Oleh Kombaiev’s DCF model based on personal assumptions pointed out that Apple still has some room for capital appreciation.
According to current trends, it is conservatively expected that Apple’s revenue growth rate will not exceed 4% in the next 10 years.
In the next 10 years, Apple’s operating margin will gradually decrease to 23%.
Although the expectations given are more conservative, the DCF model still shows that Apple has huge potential for capital growth.
The DCF valuation model shows that Apple’s share price still has 30% growth. It is important to understand that the accuracy of any DCF model is highly dependent on estimates of expected income, but for Apple, establishing accurate forecasts of future income is not easy.
Speaking of Apple’s revenue expectations for the next 10 years, any forecasting and analysis is personally subjective. To more objectively predict revenues over the next 10 years, Ollie Kangbayev used the average expectations of Wall Street analysts.