The tech giant's shares have shed more than 8 percent of their value in the last 10 sessions. But concerns that fueled selling—exposure to China and a small beat of analysts' optimistic quarterly earnings estimates, among others—seem overblown, Smith said.
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He contended that more legitimate fears like diminishing gross margins and inability to gain market share from Android operating system smartphones have subsided, giving Apple considerably more leverage.
"The problems that kind of plagued the company two years ago simply no longer exist," Smith said on CNBC's "Squawk Alley."
He noted that Apple's gross margin has stabilized in the neighborhood of 40 percent. The metric came in at 39.7 percent in the company's most recently reported quarter, and it set guidance of 38.5 to 39.5 percent in its current quarter.
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Apple held about 18 percent of the global smartphone market in the first quarter, second only to Samsung, according to research firm IDC.