© Reuters. Needham & Company says the Apple brand costs $ 1 trillion
From Sam Bouged
In a note to customers on Friday, Needham & Company analyst Laura Martin said they believe the Apple brand (NASDAQ 🙂 is worth $ 1 trillion.
The analyst points out in the note that for consumer-oriented companies, brand value is a leading indicator of consumer acceptance, withdrawal levels and pricing.
The last two studies of the value of the brand show that Apple’s brand is № 1 and is improving faster than many other consumer brands. For example: 1. Kantar’s BrandZ study “Most Valuable Global Brands 2022”, published this week, concludes that AAPL is №1, up 55% year-over-year and on track to become the first trillion-dollar mark, “Martin said.” We say the best way to think about AAPL valuation, pricing, Competitive advantage and barriers to entry is through the prism of 1B + of the richest consumers in the world, each of whom uses AAPL devices 3-5 hours a day.
The analyst concluded that they believe that LTV is the main driver of upward value for Apple and that brand value is a leading indicator for LTV.
“We believe that the growing value of the AAPL brand is a leading indicator of declining customer acquisition costs and outflow levels, as well as the growing power of pricing. Each adds to AAPL’s LTV and we are AAPL’s buyers. “