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Apple to become most profitable company ever

As Apple’s stock price continues its roller coaster ride after topping $600 earlier this year, one industry watcher believes the stock is currently in the bargain bin. Apple can already lay claim to the most profitable quarter in history among technology companies, and Topeka Capital Markets analyst Brian White on Monday wrote in a note to clients that Apple is currently on track to record the most profitable year ever among publicly traded companies.

“In CY12, we believe Apple is poised to generate the highest annual net income of any publicly traded company ever,” White wrote. “On average, we estimate Apple’s net income in CY12 will be over 6x higher than the three tech companies on an individual basis (when at a $500 billion market cap) or 1.9x the aggregate profit of these three companies combined. When including all five companies, we estimate Apple’s net income in CY12 will be 4x higher than the average.”

Among the catalysts the analyst has noted in previous research are a sleek new iPhone with a 4-inch display launching in the third quarter, an “iPad mini” set to launch in September and an upcoming Apple HDTV, though White has not specifically stated that Apple’s highly anticipated television will launch this year in his coverage.

White reiterated a Buy rating on Apple stock with a price target of $1,111, nearly twice the $572.52 shares of Apple were trading at ahead of the opening bell on Monday.

Zach Epstein

Zach Epstein has been the Executive Editor at BGR for more than 10 years. He manages BGR’s editorial team and ensures that best practices are adhered to. He also oversees the Ecommerce team and directs the daily flow of all content.

Zach first joined BGR in 2007 as a Staff Writer covering business, technology, and entertainment. His work has been quoted by countless top news organizations, and he was recently named one of the world's top 10 “power mobile influencers” by Forbes. Prior to BGR, Zach worked as an executive in marketing and business development with two private telcos.