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Apple stock nears record high

Apple has discovered its groove once more.

The iPhone maker’s stock hit $133.82 in early buying and selling Monday, placing Apple lower than $1 away from its intraday trading high of $134.54, reached in April 2015. Apple’s stock ended the day at $133.29, beating its earlier record closing value of $133, set in February 2015.

The stock surge, pushing Apple (AAPL) to a $700 billion market cap, comes amid renewed optimism for the iPhone.

Goldman Sachs raised its value goal for the stock on Monday, citing the probability of “major new features” like “3D sensing” being added to the subsequent iPhone mannequin, in accordance with an investor observe offered to CNNMoney.

Apple’s earlier high was set six months after it launched the redesigned iPhone 6 and 6 Plus, kicking off what CEO Tim Cook described because the “mother of all upgrades.”

Since then, nonetheless, Apple has bucked its custom of overhauling the iPhone each different 12 months. The latest fashions available on the market in the present day look practically equivalent to the iPhones obtainable in late 2014.

The lengthy wait, mixed with this 12 months marking the iPhone’s tenth anniversary, has solely raised expectations that Apple is about to considerably overhaul its smartphone and reignite demand.

Related: Tim Cook: ‘Apple would not exist without immigration’

Apple’s annual sales fell within the 2016 fiscal 12 months for the primary time since 2001 as iPhone gross sales, nonetheless nearly all of its enterprise, declined in three consecutive quarters.

Apple even cut its CEO’s pay by 15% as a result of firm’s failure to fulfill its efficiency targets for each gross sales and income.

But that shedding streak simply ended.

Apple sales began rising once more within the December quarter, pushed by stronger demand for the iPhone — notably for the bigger and costlier iPhone 7 Plus.

The firm offered 78.3 million iPhones for the quarter, setting a brand new record. At least a few of which may be as a result of Samsung’s smartphone recall woes.

Mark Moskowitz, an analyst with William Blair, wrote in an investor observe this month, “Samsung’s Note 7 struggles likely helped.”

The iPhone is not the one cause Wall Street is happy about Apple. There’s additionally President Trump.

Despite Trump clashing with Apple throughout the marketing campaign, buyers at the moment are optimistic Apple will profit from at the least one Trump proposal: chopping taxes on money that U.S. companies deliver again from their abroad accounts.

Apple presently has $230 billion in cash held in overseas accounts. If Trump and Congress make it cheaper for Apple to deliver that cash again, it may very well be used for acquisitions and buybacks.

CNNMoney (New York) First printed February 13, 2017: 12:24 PM ET

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