Apple is one of the largest and most successful companies in the world. Apple’s market capitalization, i.e. the combined value of its shares, is currently over $2.5 trillion.
The company was founded in 1976 by Steve Jobs, Steve Wozniak and Ronald Wayne.
The company has continued to grow in recent years due to the popularity of its products such as the iPhone, iPad and MacBook. In addition, Apple has developed a strong presence in the services sector, such as Apple Music, iCloud and Apple Pay.
To all this, we must now add the banking sector.
In fact, the recent announcement of the partnership with Goldman Sachs will allow all customers (for now only in America) with an Apple card to access a deposit account with a gross yield of up to 4.15% per year.
If we stop here, nothing striking, we know very well that the “up to” means everything and nothing and that, more often than not, many of these funds yield less than the S&P500 with a passively managed savings plan (ETF).
However, we must consider what all this represents.
First of all, Apple will find itself having a considerable increase given by a system which, for a chain like Starbucks, has generated an exponential increase in capitalization, so much so that in America it is called “the bank that also sells coffee” with a dedicated app ( wallet) that the customer can top up with a rewards system that leads to wanting to “top up” as much as possible in dollars and consume “earning” rewards, rather than using a credit card or cash.
What generates all this? Simple, continuous cash flow.
Returning to Apple, it is not difficult to imagine that this system will also be exploited in this sense, with marketing initiatives, discounts, prizes, and much more.
Deposit and withdrawal fees are free.
Imagine the trust that an American places in Apple with a banking giant like GS behind it… it is very easy to predict the fact that a customer decides to “invest” part of his income, with a click on the fund, rather than on the wallet, gives a %.
Happier and happier to be a shareholder.
I update my position as always (more than 20% gain).
Short Term Target: 180 $
Medium-long target: 200 $
At 200 I will take home part of the profits, rebalancing my position as always.
DISCLAIMER: I am not a financial advisor. These posts, videos, and any other contents are for educational and entertainment purposes only. Investing of any kind involves risk. While it is possible to minimize risk, your investments are solely your responsibility. It is imperative that you conduct your own research. I am merely sharing my opinion with no guarantee of gains or losses on investments.