Apple Inc. (NASDAQ:AAPL) Shares Reach Record High of $700 while iPhone 5 crosses 2 Million Pre-orders

Apple Inc.(NASDAQ:AAPL) crossed $700 on Tuesday even as the pre-order numbers of its latest offering smashed the records of its predecessors. The stock has moved up by 73% through 17^th September so far this year.

Ever since the iPhone made its debut in the smartphone market, the product has single-handedly made Apple one of the leading names in the world from a niche computer manufacturer. The iPhone 5 is extremely lightweight, with a larger screen and faster processor, and a record 2 million units were pre-ordered, which is more than double in case of iPhone 4S, its immediate predecessor.

Due to the phenomenal response for iPhone 5, it is being speculated that Apple can easily take on rivals like Samsung and Google. The iPhone comprises almost two-thirds of its profits. According to Apple’s website, new orders will not be shipped before 28 September, which might be because of the initial supplies getting exhausted.

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Shaw Wu, an analyst at Sterne Agee & Leach has stated that the number of units sold might go up to 26 million as opposed to his previous prediction of 23 million. Steve Jobs certainly executed a brilliant strategy when he decided to diversify their product offering including digital music and mobile phones. Each new Apple product contributed tremendously to the company’s profits – in June, the revenue came to $35 billion as compared to 1.73 billion in the last quarter before Jobs returned to Apple in 1997.

Bloomberg analysts have predicted that 58 million units of the latest iPhone will be sold by the year end, bringing the sales figure to $36.2 billion. Apple is also riding high on its latest victory against Samsung in a patent infringement lawsuit, which resulted in a block on certain Samsung products.

News of the new iPad Mini is already circulating, hinting at an October launch. Apple is also working on certain products via which users can see TV and movies on their Apple devices. But it could take a long time to execute as there are numerous third parties involved. As of now, their shares are likely to shoot up to $775 in the next 12 months, according to Bloomberg.