Bidness Tech - Carl Icahn Believes Apple's Stock Is Worth $240

Apple is believed to have shares valued up to $240 in an open letter written by Carl Icahn
In the most recent Apple news, it was seen that Tim Cook received a letter by Carl Icahn, one of the most dominant and influential businessman in the industry, in which he was congratulated for carrying out the business activities of the software company in such a successful manner. It was an open letter written by him in which he showed much positivity regarding the recent activities that helped the company obtain exceptional success and dominance over other firms of its kind in the industry. Icahn also declared in the letter that he believed that the stock of the iPhone makers was worth a massive $240.

Analysts, on the other hand, believe that this expectation out of Apple stock by Carl Icahn is not to be right as his expectations are way above the line. It is to be believed that this price target is just something that has a very low chance of actually taking place. Therefore, analysts have declared that this should not make the investors too optimistic about the firm since it is very likely to not take place. Icahn seems to be a little too optimistic about the stock worth of the iPhone makers as per analysts’ analysis.

Even though in his letter Carl Icahn has been persistent that he is being rational by thinking Apple is capable of such a share price, but analysts think that he is being a little too aggressive only because he is satisfied with how the firm is working. However, analysts only seem to agree with the predictions on the sales of iPhone which are expected to increase by 2.3 percent in 2016 and around 6.7 percent in the year next to that.

Analysts believe that by saying that Apple will soon be starting the production and selling of its very own Apple TV and Apple car, Icahn is stating nothing new but supporting just a few rumors that are already been circulating in the air. Now going back to the history a little back, it will be seen that the firm has previously thought about working on a TV but only a year ago, the iPhone makers reportedly discontinued the work that was being done on it, as per a report by Wall Street.

Analysts are of the opinion that Icahn is most probably going to be proved wrong since expecting Apple to launch something that it has not even been working on for the past year is actually not very smart and that it needs a bigger revenue generation than it already is obtaining to carry out such a task.