Professor: Then Apple can reach a trillion dollars in returns by 2030

Professor: Then Apple can reach a trillion dollars in returns by 2030
Professor: Then Apple can reach a trillion dollars in returns by 2030 1

Renowned marketing professor Scott Galloway at New York University has published one analysis over how Apple could reach a trillion dollars in returns in 2030. Something that was first noticed by Apple Insider.

At present, Apple has a valuation of about three thousand billion dollars but a return of “only” 366 billion dollars.

To achieve higher returns, Scott Galloway argues that Apple could use its unique ecosystem of services to expand operations into new markets and take them over from the dominant players.

To expand, Apple needs capital. In 2021, the company generated $ 93 billion in cash flow. That, combined with a $ 22 billion research and development budget, means that Apple, according to Scott Galloway, can have $ 126 billion a year to invest in various businesses.

Add to that the fact that Apple can also use its valuable stock as currency and that tech companies usually make purchases equivalent to 10 percent of their market capitalization and that could mean that Apple has $ 290 billion to use per year.

The new markets that Apple could expand into seem to be the banking sector, search services, health and the car market through the infamous Apple car. Scott Galloway believes that the banking sector is first out here through Apple Pay and the Apple Card.

However, Scott Galloway is careful to point out that these are of course just theories and that Apple has historically been quite conservative when it comes to buying other companies. The biggest purchase was when Beats was bought eight years ago for three billion dollars.

Read also: Apple climbs the patent list in the US

Professor: Then Apple can reach a trillion dollars in returns by 2030 1

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