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Apple Inc. (NASDAQ: AAPL) became the first trillion-dollar company on Aug. 2, leaving many investors with the impression that AAPL stock had little room to run higher.
That couldn't be more wrong...
While this is a historic milestone for the company, shares of Apple are continuing to trade for a steep discount compared to the rest of the market.
You see, Apple has been quietly streamlining its operations over the past year by cutting costs, finding new suppliers, and tightening its supply chain. This will not only be good news for the AAPL valuation long term, but it's great news for the companies plugging into Apple's pipeline.
Here's why investing in Apple is still hugely profitable, plus a bonus opportunity to play one of its suppliers for even bigger profit potential...
Why Apple Stock Is Still a Bargain
AAPL stock predictions are a dime a dozen, but the fact is that this stock remains a bargain because of its price/earnings ratio.
Apple's P/E ratio is currently 18, which is low when you compare it to other tech giants.
And even though its market cap is about a ninth the size of AAPL's, Netflix Inc. (NASDAQ: NFLX) has a P/E ratio of 155.
Critical: A breakthrough technology could disrupt every major industry, and one tiny company is at the center of it all. Its stock is trading for less than $10 now, but it could deliver a 471.9% gain for early investors. Learn more...
That means shares of AAPL are trading at a huge discount compared to the rest of the market, and it means it has even more potential to run higher.
This is one of the reasons Money Morning Defense and Tech Specialist Michael Robinson put a $250 price target on AAPL stock.
And even though the company represents a value right now, its innovation is continually leading it to new heights.
As the company moves quickly to improve its processes, it is also pulling in massive profits with its iPhone products.
Even though smartphone sales dipped slightly in Q2, it made up for the revenue with the iPhone X, which has an even higher profit margin.
In fact, Apple has increased revenue 37% year over year. In 2017, 40% of the company's revenue came from the Apple Store. The combination of music and apps for sale will continue to be a profit source for AAPL.
There are now more than 1 billion Apple devices being used daily, which gives this company considerable momentum for the future.
That's why AAPL is within striking distance of Michael's Apple stock forecast of $250 per share. From today's $216.15 share price, that represents a 16% gain.
This is an excellent return if you invest in AAPL, but it's possible to leverage this company's activities and boost your profits by as much as eight times this amount.
This is possible through a backdoor profit play based on the company's recent activities. Apple has aggressively pursued streamlining its production capabilities over the past year, and our pick will directly benefit from these efforts.
This supplier is one of the companies helping Apple achieve the massive growth and profits it's projecting.
It will also give you a potential 200% gain...
A Unique Backdoor Profit Play for Apple
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Universal Display Corp. (NASDAQ: OLED) is a world leader in the manufacturing of OLED displays.
OLED refers to "organic light-emitting diode," which is quickly becoming the new standard to replace the LCD displays long-used on just about every digital device.
Apple originally chose Universal for its OLED display technology for its new iPhone X, the company's first smartphone to make the entire front screen a touch panel.
Since the iPhone X's design has been considered a success, Apple is likely to continue using this feature in future phones, which means it will expand its use of OLED technology.
Universal doesn't just work with Apple. Its screen OLED display technology is also found in Samsung's tablets and phones. These devices provide significant profit for the company, considering the Galaxy Note and S3 sporting OLED tech each sold over 10 million units.
ResearchAndMarkets.com reports that OLED technology is set to explode across the smartphone industry. Specifically, the global OLED market was worth $16.58 billion in 2016, and its value is projected to soar to $48.81 billion by 2023, an increase of 194%.
And Universal is a major player in delivering OLED screens to this expanding market.
FactSet reports that nine out of 10 analysts are rating OLED stock as a "Buy," and the average one-year price target is $148.22, a gain of 22% from today's share price of $121.20.
This is great, but this stock can go much higher.
You see, revenue for Universal jumped from $198.9 million in 2016 to $335.6 million last year. This is over 21 times what the company was earning in 2009.
In 2017, net income was up 116% from the prior year and almost 600% from just two years earlier.
With this staggering earnings growth, OLED's earnings per share has more than doubled to $2.43 over the past year, and projections put it at $6.18 by 2021.
If the share price grows along with earnings, this gives investors a 200% gain in just two years, which is substantial.
This is an opportunity to get in on the ground floor with a stock that's poised to soar over the next several years.
This Tiny Stock Could Turn Every $1,000 Invested into $4,719
The biggest tech breakthrough of the decade could be game-changing - and life-changing.
One tiny firm is rapidly developing the parts needed for this new technology, and it recently inked four deals with major players.
Its stock is trading for less than $10 now... but estimates show it could climb to $57.19 by 2025 - a 471.9% gain for those who get in now.