If Apple puts its massive cash holdings to work, the company could end up giving back $60 billion per year to investors, said Gene Munster, founder and managing partner at Loup Ventures, a venture capital firm.
"That alone will move the stock 7 percent higher in the next year," Munster told CNBC on "Fast Money" Tuesday night.
"This is a cash-generating machine that is head and tails above any other FANG stock and really any other company in the world," he added.
Earlier this year, following disappointment over its iPhone sales, Apple announced its plans togo net cash neutral, or an equal amount of cash and debt bringing the balance to zero. It will target to put nearly all its $163 billion in net cash to work, hinting at more stock buybacks, dividends or acquisitions. The company currently has a cash reserve of $267.2 billion.
Meanwhile, Apple announced earnings Tuesday after the bell, beating Wall Street's expectations, but sold fewer iPhones than expected. Still, the sale of 52.2 million iPhones was up — with only 51 million sets sold the same time last year. Shares immediately rose by as much as 5 percent in after-hours trading following the earnings release.