Shares of Apple Inc. (AAPL) surged more than 2 percent in early trading Wednesday after Goldman Sachs (GS) added the name to its “Conviction Buy” list with a $163 price target. Wall Street’s most powerful firm notes that Apple’s stock is trading at a 30% discount to the S&P 500’s average multiple. Goldman also says that AAPL currently trades like a “hardware stock”, and that the market is not necessarily recognizing the tech giant’s increasing emphasis on service revenue.
Apple shares have gained $2.05 intraday, printing a market cap of roughly $645.50 billion. The stock traded as high as $134.54 in April 28, 2015.
Shares of Apple Inc. have gained 1.44% in the past year and 4.75% year-to-date. The name dominates the S&P 500 index as no other company has in 30 years.