Apple Inc. Stock Crosses $600

Jeff Gundlach reckons that there’s no real upside to Apple Inc. (NASDAQ:AAPL) beyond $600, and his prediction is likely to be tested in the market in the coming days. In today’s trading stock in the company hit above $600 for the first time since November of 2012. Apple shareholders may think the good times are beginning to roll once again, but the Double-Line Capital boss reckons there’s little to be excited about ahead.

Gundlach famously called the Apple Inc. (NASDAQ:AAPL) collapse in that same year, and his ability to read the stock has been talked about since. Apple value has grown by close to 7% in 2014, so the bull run to $600 may not be set to continue past the milestone.

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Apple edging towards a return to form

It wasn’t until its earnings report for the first three months of 2013 appeared that Apple Inc. (NASDAQ:AAPL) shares began to really take flight. The new high hit n today’s market shows the new-found expectations about the future of the company, though it is difficult to say what trajectory the company’s stock will take in the coming months.

Without some kind of massive push, however, this is likely the last milestone Apple Inc. (NASDAQ:AAPL) shareholders will see for some time. It’s almost certainly going to be years before the company manages to really break the $600 barrier again. Apple Inc. (NASDAQ:AAPL) shares are going to be split 7 to 1 in June. That will leave the company’s stock at further away from $600 per share than it has been in years, though the overall valuation will remain the same theoretically.

Apple stock 600

That stock split, and the attendant capital return program, may have a lot to do with the run that Apple Inc. (NASDAQ:AAPL) shares have been on since the release of its earnings report in April. Though the firm’s numbers were surprisingly good, they were not surprisingly great. The packages designed to take care of shareholders were probably the most important measures taken, and are probably working to drive value in the company.

Gundlach says apple will stick at $600

According to a comment picked up by Tiernan Ray over at Barron’s, Geoffrey Gundlach reckons that Apple Inc. (NASDAQ:AAPL) shares will have little upside beyond the $600 mark the company’s shares passed today. The hedge fund manager made the comments at the Ira Sohn event in New York.

He told CNBC “ I said it might make its way to $600 this year. I think the sort of fairly radical steps they took support the stock from an investor standpoint. So maybe it goes a little bit higher. I wouldn’t look for much over $600, though.” Gundlach is known for his bond plays, but his right call on Apple Inc. (NASDAQ:AAPL) in 2012 earned hima voice when it comes to the stock.

His comments at the Ira Sohn conference show a good understanding of what Apple Inc. (NASDAQ:AAPL) did with the year so far. The company took more radial steps to encourage investors to hold onto the stock and as a result it has hit the $600 mark. Whether it goes much further than that will be interesting to see, particularly as the firm releases products later this year.