Apple Stock Is Falling Because the Price Already Reflects iPhone
A month after Apple introduced the first two models of its iPhone 12, two analysts remain on the sidelines.
UBS analyst David Vogt maintained a neutral rating on Apple shares (ticker: AAPL), with a price target of $ 115. In a note on Monday, he said a UBS Evidence Lab survey of 7,000 smartphone users in the US, UK, China, Germany and Japan showed that the intention to buy an iPhone in the next 12 months marked more. It is estimated that sales of the iPhone 2021 fiscal year of 210 million units, but thinks that about 230 million units are priced in stock.
“The purchase intention is similar to the launch of the iPhone X in 2017, the most recent comparable launch of an iPhone’ supercycle wrote. “While the survey data is directionally positive for demand, we believe the positive inflection is already captured in investor sentiment and buy-side expectations.”
Credit Suisse analyst Matthew Cabral maintained a Neutral rating with a price target of viernes 106 on Friday. He noted that the waiting times to buy an Apple iPhone online, which he sees as a proxy for initial demand, shows the waiting times for the iPhone 12 Pro and Pro Max that extend, while the waiting times for the iPhone 12 Mini are largely less than a week. The iPhone 12 and iPhone 12 Pro began selling in October. 20. The iPhone 12 Mini and the iPhone 12 Pro Max hit the market in November. 13.
Cabral said such trends support his view that this generation will have a stronger high-end mix, which will raise the average selling price. But that contrasts with potentially softer sales on the low-end iPhone 12 and the iPhone 12 Mini. He said that one factor to monitor is possible supply restrictions.Every night from Monday to Friday we highlight the market news of the day and explain what will probably matter tomorrow.
Apart from iPhones, Vogt notes that investors will focus on service growth in fiscal year 2021. Last week, Apple announced an App Store program to halve its commission for companies that earn $ 1 million or less in sales on the platform.
“Although Apple recently announced a reduction in symbolic fees in our opinion for small businesses, investors should focus on the European Commission’s research into Apple’s business practices and in-app purchase system,” he wrote. “Although purchase intent for iPhones marked modestly higher in recent survey data, any further incremental changes in the App Store commission structure could partially offset the iPhone’s upside while negatively affecting sentiment.”
Apple shares were down 2.5% at.114.46 by midday Monday, while the broader S&P 500 index was up less than 0.1%.