"If you adjust for cash, and look at cash flow, its cash flow multiple is more like 10 to 11 times. The market's at 15 to 16 times, so it's trading for a significant discount," Sacconaghi said in a CNBC "Squawk Alley" interview.
Sacconaghi made his remarks a day after Gundlach said the tech giant's stock is "reasonably priced." Nevertheless, Gundlach added that due to its size, investors may not be able to compound their growth.
"The [Apple Watch]? I don't know if that's really going to set the world on fire," Gundlach said.