Apple’s share price now makes it more valuable than both Microsoft and Google combined. Yet Manjoo argues that there’s still plenty of room for it to rise:

• During Jobs’ tenure Apple’s shares rose by more than 350%
• However its revenues have grown even faster, so that the price to earnings ratio has declined.
• Apple’s P/E ratio is ~14. To put that in context Google has a P/E of 20 and Amazon’s is an amazing 139.
• Apple is not at its natural peak; rather it is at the cusp of a new era of growth. The iPhone may not dominate in smart-phone market share, but it does dominate smartphone profits, of which it commands 75%. The numbers in the tablet market are even more heavily skewed in Apple’s favour.
• Smartphones and tablets have just begun to become popular and as more and more people adapt to the new technologies, Apple is poised to grab a significant portion of the revenues.

To read more about Apple’s future, its opportunities, and the performance of its new CEO click here.

Source: Slate