This is why Apple wishes it were an Internet company

It might be valued less like Hewlett Packard or Time Warner and more like Facebook or Yahoo.

This bar chart comes courtesy of Bernstein's Toni Sacconaghi, who sees hope for Apple as it migrates from one-off purchases to monthly subscriptions, a la iPhone upgrade program.

"While transactional hardware companies trade at 10 - 11x earnings today (AAPL trades at 11x, or 8x ex-cash), a business with a truly recurring revenue and profit streams would be likely be valued at a much higher multiple. For reference, we note that media companies trade at 14-15x and Internet companies trade at a median of 28x earnings, highlighting the potential for a re-rating in Apple's multiple."

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