What Analysts Are Saying About Apple’s New Products
Apple Inc. unveiled the most anticipated new iPhone in years on Tuesday, and with the tech giant’s shares already up 40% in 2017, the device had to live up to high expectations.
CEO Tim Cook and other executives took to the stage at Apple’s new campus in Cupertino, California, to show off multiple iPhones — including the 5.8-inch edge-to-edge iPhone X, which retails starting at $999 — an LTE-enabled Watch, and an upgraded Apple TV streaming video box.
While the company’s shares finished down 0.4% after the presentations ended, Wall Street remains mostly optimistic. Here’s a wrap of what analysts are saying.
Michael Olson of Piper Jaffray
“This being the 10th anniversary of the original iPhone, expectations were for the company to deliver a device with a relatively more robust set of upgraded features. We believe Apple generally met these lofty expectations. Most notably, we would point to the change in form factor (edge-to-edge, glass OLED screen) and 3-D sensing (enabling facial recognition) as the key upgrades.
“We recommend owning Apple due to potential for a strong iPhone upgrade cycle and a favorable trajectory for services revenue.” Maintained overweight rating and $190 price target.
Brian White of Drexel Hamilton
“Apple’s stock will not only benefit from the upcoming iPhone cycle, but also the company’s capital distribution initiative, attractive valuation and potential new innovations. As such, we do not believe Apple’s run will end with today’s iPhone event, but still has attractive upside potential.” Maintained buy rating with $208 price target.