As Apple Inc continues to look forward to higher sales for the new versions of the iPhone and iPads in the holiday quarter, the company's stocks may be on its way to reaching $700 in 2014.

Recently named the world's most valuable company by Forbes, Apple Inc's stock price is still 25 per cent less of its highest value at $705 in 2012. The company was even surpassed by the virtual currency, Bitcoin, in value at $700.

Apple analyst William Meade has followed the Apple's stock movement since early 2000. Mr Meade was bearish on Apple Inc in February which was not a popular view at that time. In the next two months, the tech giant went 25 per cent more from its stock price. He changed his view when Apple was trading at $433.

Reason #1. Apple Inc's shares are currently above the $500 mark. The release of the iPhone 5S, iPhone 5C, iPad Air, iPad mini with Retina display is expected to fuel Apple's sales performance in international markets like China and Japan. If Apple continues to perform well in terms of revenue, investors may start looking at Apple as a hot stock in the market.

Reason #2, According to Mr Meade, Apple's current stock price is cheap in comparison to its historical evaluation. The company's average price per earnings ratio is 17.5 times its earnings. At this figure, it will put Apple's stock at $700 per share.

Reason #3. Investors should also look at Apple Inc's shares as income stock since the company has a higher dividend at 2.27 per cent than the Dow's 2.25 per cent and S&P 500's 1.93 per cent. Apple is not only considered a value stock but a stock that pays higher dividends.

Reason #4. Another reason for Apple to reach $700 is stakeholder and billionaire activist Carl Icahn. Analysts expect Mr Icahn to push Apple to create shareholder value using buybacks or special dividend payouts.

Reason #5. Majority of analysts in Wall Street or 72 per cent believe Apple is still a strong "buy" in the market. They are also expecting the company to beat earnings expectations in December. According to past trends, this usually triggers a momentum in stock.

Reason #6. Apple Inc's iPhone 5S and iPad Air sales continue to grow stronger, according to recent global surveys and data from U.S. carriers. The sales growth is boosted by improving supply levels. Analysts have also observed steady sales in the iPhone 5C.

Reason #7. A TD-LTE iPhone launch with China Mobile may boost Apple Inc's March 2014 quarter sales. Apple's large share buyback programme is also expected to help the company return to a favourable earnings per share (EPS) growth in fiscal year 2014/15. Cannacord analysts' maintain their buy rating for Apple shares.