Why (And When) Apple Stock Will Reach $200 Per Share

The recent pullback among tech stocks will likely prove to be a great buying opportunity, Loup Ventures' Gene Munster said Friday on CNBC's "Squawk Box."

Munster thinks investors should focus on buying stocks that will allow them to sleep well at night, he said. The stock at the top of his list is Apple Inc (NASDAQ: AAPL).

"It's a pretty easy decision for me," Munster said. The combination of hardware, software and services should help to push the stock higher from current levels over the next two years," he added. 

Potential catalysts for the stock include the rollout of 5G, the anticipated release of augmented reality glasses and the opportunity Apple has in the auto industry. These should increase the earnings power of Apple and help it to reach $200 per share in the next one to two years, Munster told CNBC.

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The reason for the one-to-two-year time frame is uncertainty around the debt ceiling, inflation and rates, he noted. "But at its core, I think it's reasonable to think Apple can achieve $200 in the next one to two years," Munster said.

"For years investors have had a little bit of a negative bias towards Apple just given their hardware business, but I think if you look at how the world is progressing, this accelerating digital transformation, work [and] learn remotely and all of how we need their products. They do something by bringing hardware, software and services together that I think will reward investors."

AAPL Price Action: Apple has traded as high as $157.26 and as low as $107.32 over a 52-week period.

The stock was down 0.95% at $140.16 at time of publication Friday morning. 

Photo: Courtesy of Apple