How Apple Stock Can Break $300

Core Insights - Apple has a history of rapid stock price increases, with rallies exceeding 30% in less than two months during years like 2010, 2019, and 2024, and gains surpassing 50% in 2012 and 2020, suggesting potential for future peaks [2] - The stock has risen to unprecedented levels, driven by a thriving services division nearing $100 billion annually and increasing demand for the iPhone 17 lineup, alongside a more defined AI strategy [3] Financial Performance - Apple showcases strong fundamental health with consistent revenue growth and solid cash flow metrics, although market declines can still impact even robust companies [6] - The company has a P/E ratio of 38.2, with a free cash flow margin of approximately 23.5% and an operating margin of 31.9% for the last twelve months [11] Growth Drivers - AI innovations, including an upgraded Siri and potential collaboration with Google Gemini, could add $75-$100 per share by 2026, creating new revenue opportunities [11] - New product introductions, such as a foldable iPhone and Vision Pro 2, are expected to tap into new market possibilities and accelerate hardware upgrade cycles [11] - Ongoing double-digit growth in services revenue, projected at 15% in Q4 2025, will enhance profitability and investor confidence [11] Revenue Metrics - Revenue expansion has been recorded at 6.0% for the last twelve months, with an average growth of 1.8% over the past three years [11]