Wells Fargo has decided that it had better get in on the action and start covering Apple as the company gears up to its “biggest product cycle ever”.

The investment bank has resumed coverage of Apple saying it expects the 2012 iPhone to drive the "largest product cycle in consumer electronics' history".

Analyst Maynard Um predicts that the iPhone will gain a "complete form factor redesign" and "true 4G". He also believes other new products, including an iPad mini, a new iMac, Mac Pro and iPod, will contribute to growth.

Um doesn't think that Apple's so-called iTV smart TV will launch before 2013. However, when it launches the television, Wells Fargo believes Apple could take $50 billion in market capitalization from other manufacturers in the market.

Um also notes some risk factors, including the drop in the average selling price of the iPhone due to decreased demand or a reduction in carrier subsidies. He also notes: evolutionary rather than revolutionary innovation, legal disputes, higher operating expenses, supply constraints and macro-economic slowdown, according to AppleInsider's report.

Um rates Apple as overperform and claims that the shares are “undervalued”.