Analyst: Apple Stock Could Soar to $240

Following 's (NASDAQ: AAPL) iPhone launch event last week, Wall Street analysts shared some insightful thoughts on the new products and their potential to help the tech giant's business. In general, analysts seem quite bullish after watching Apple's latest product announcements. Several analysts even raised their 12-month price targets for the stock.

Among the most optimistic analysts was one from Wedbush Securities. The firm's managing director of equity research, Dan Ives, said he thinks the stock could soar about 38% from its current level over the next 12 months. Given the substantial upside Ives expects from the stock, it's worth taking a look at the reasoning behind his bullishness to see if the reasoning is sound.

Ives raised his target for the stock to $240, up from $230 previously. To explain his high target and his "outperform" rating on the stock, he said his iPhone supply chain checks pointed to a healthy supply chain for the iPhone. This, of course, would support robust sales levels. In addition, he thinks mobile phone carrier promotions will be aggressive, serving as "a major catalyst for upgrades into the holiday season." Finally, the analyst pointed to China, where he thinks the tech company has "incredible momentum."

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Source Fool.com