Apple Shares Still Riding a Wave
CUPERTINO, Calif. (TheStreet) -- Apple's (:AAPL) shares are climbing in pre-market trading on Tuesday, as the iPhone maker rides an ongoing wave of positive Wall Street sentiment.
The consumer tech giant's shares gained $9.01, or 1.46%, to reach $627.64 before market open, continuing its recent momentum. Apple's stock, which has hit a series of new all-time highs, closed at $618.63 on Monday.
The stock's technicals suggest that this trend will continue. Apple's 50-day moving average crossed above its 200-day moving average shortly after market open on Monday. This event, which is known as the Golden Cross, typically signifies bullish activity in a stock.
Basking in the glow of analyst price target hikes and a successful new iPad launch, Apple shares have climbed more than 52% this year, far outpacing the Nasdaq's gain of almost 20%.
Piper Jaffray was the latest firm to up the ante for Apple on Tuesday, lifting its price target on the stock to $910 from $718 and saying the company will be the first one to garner a $1 trillion market cap.
"We believe shares of AAPL will reach $1,000 in CY14, which would imply a roughly1 trillion dollar market cap, the first in history," the firm said. "While some investors believe the biggest issue for AAPL to get to $1,000 is the market cap along with excessive investor exuberance, which we address in this note, we believe the real story is earnings growth. Fundamentally, we believe shares can reach $1,000 based on our belief Apple will continue to win in global mobile devices."
JPMorgan(:JPM) was also feeding bullishness on Tuesday, raising its Apple price target to $715 from $625 because of better-than-expected sales activity for the iPhone and iPad.
Piper's $1,000 call comes after analyst Brian White of Topeka Capital Markets initiated coverage of Apple on Monday with a buy rating and a $1,001 price target on Monday, explaining that "Apple fever is spreading like a wildfire around the world and we see no end in sight to this trend."
The Cupertino, Calif.-based firm will report its fiscal second-quarter results on April 24.
--Written by James Rogers in New York.
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