Analyst Laura Martin suggests ways Apple could double its revenue growth

At Extreme Investor Network, we are always on the lookout for innovative investment opportunities that could potentially double revenue growth for big companies like Apple. Our expert analysts have identified a unique strategy that could significantly boost Apple’s revenue and profit margins in the coming years.

Analyst Laura Martin from Needham believes that Apple should consider building out an advertising business to increase its revenue growth rate. By following the example of fellow tech giant Amazon, which has seen tremendous success with its advertising arm, Apple could tap into a lucrative market that could potentially double its revenue growth.

Currently, Apple’s revenue growth rate is at risk over a three-year period, according to Martin. By expanding into advertising, Apple could leverage the global ad spending market, which is estimated to reach $966 billion by 2024, with $500 billion dedicated to mobile advertising alone. With ad margins typically between 70% and 80%, this could result in a significant boost to Apple’s overall profitability without needing to raise prices on its products.

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Martin also pointed out that Apple has the potential to grow its advertising business rapidly, similar to how Amazon grew its advertising revenue from $3.7 billion in 2017 to an estimated $56 billion in 2024. By selling connected TV ads on AppleTV+ and focusing on expanding its advertising business, Apple could see annual growth rates between 50% and 120% in the early years.

In addition to boosting revenue growth, advertising could help Apple reinvigorate its overall revenue growth rate, accelerate free cash flow growth, and improve return on invested capital. With a buy rating from the majority of analysts, including Martin, Apple’s future looks bright if it chooses to pursue this new income stream.

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At Extreme Investor Network, we believe that by exploring new revenue streams like advertising, Apple could unlock immense growth potential and deliver significant returns for investors. Stay ahead of the curve and explore unique investing opportunities with us today!

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