2 Reasons Why You Should Buy and Hold Apple Stock

At this point, most investors have heard about Apple’s (NASDAQ:APPL) outstanding achievements. However, such feats can come with a few worries of their own, like the following: with a market cap of $2.7 trillion, how could the company get any bigger?

But here’s the thing. The company does retain significant prospects for growth, meaning that going past that monster-sized market cap is not out of the question at all.

That might be hard to believe at first, so here we have gathered 2 reasons why that’s the case. Once you understand them in full, you’ll be agreeing that Apple stock is worth buying and worth holding onto.

People Are Still Buying iPhones by the Numbers

As of today, Apple’s biggest product is the iPhone.

First released in 2007, it soon became a leading brand in the smartphone market. With such a long lifespan, one would think that its popularity was meant to fade at some point. 

However, that remains to be seen fourteen years later, since the device is still bringing a lot of hype to the table.

According to the company’s latest quarterly report, iPhone sales amounted to up to $38.9 billion of Apple’s yearly revenue compared to last year’s numbers, which signified a 47% increase.

In short, it seems that users do not intend to part ways with their iPhones. Likewise, it appears that the device is not interested in letting go of its popularity.

Apple’s Various Services Are Thriving

Accompanying iPhone sales, there’s also the matter of Apple’s subscription-based services, all of which have demonstrated their value over the past five years. These include the likes of Apple+, all iCloud-related services, Apple Pay, among many others.

We’ll go back to the earnings report mentioned above for a quick moment. According to it, these services generated up to $68.4 billion in revenue. This meant a 27.3% increase for the entire segment, this being in relation to the figures of 2020.

When focusing on this fiscal year alone, the sales figures for these services were Apple’s second-largest—being only second to iPhone sales.

Assuming that both segments can keep growing at these rates, you can bet that it will positively impact Apple’s long-term future. Especially in the growth department. But let’s be honest, we’re talking about Apple, so it’s for sure that it will deliver in due time.

We just have to be patient.