How Much Is the iPhone Worth to Apple’s Stock

Aug 13, 2011
J. Webster
Comments Off on How Much Is the iPhone Worth to Apple’s Stock

Needham & Co.’s Charlie Wolf recently upgrade Apples stock (AAPL) to $540 a share, not so surprising, as the mean target for analysts is $500 per share and the high is $666. But what was interesting is how he broke down the stock based on products and cash value. This is not perfect but here’s the rough breakdown for the stock.

iPad = $65.62
iTunes and App Store = $27.52
iPod = $3.50
Mac = $63.92
iPhone = $265.86
Cash = $86

This puts you at a total of around $510 per share. Not sure what’s missing to reach the Charlie Wolf’s $540 price target? Could be the cash per share, which will also increase in the coming year.

What jumps out is the value of the iPhone. Coming in at a whopping $265 per share. Wow. Then there’s the Mac computer, which only comes in at $63 per share. You’d think that the Apple computer, both desktop and laptops would have more of an impact. Expect this to rise as Apple makes more inroads into the enterprise or business end of selling computers – imagine companies have all Apple products. When that happens, watch out.

Also, in time, what seems likely is for Apple to come out with another product, like an actual TV.

Charlie Wolf’s report over at Barron’s.

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