“Apple CEO Tim Cook should put on a helmet and leather jacket because his company will be riding an iPhone ‘supercycle’ next year thanks to the highly anticipated iPhone 8 handset, says Morgan Stanley analyst Katy Huberty,” Patrick Seitz reports for Investor’s Business Daily.

“‘Our higher near-term iPhone estimates are largely priced into shares,’ Huberty said in a research report Friday. ‘”However, we’re increasingly confident in the upcoming iPhone supercycle driving meaningful estimate revisions and the stock toward our $162 bull case,'” Seitz reports. “Huberty rates Apple stock as overweight and has a base-case price target of 124, up from 123 previously.”

“Huberty raised her estimates for Apple’s calendar second-half 2016 because of ‘”better-than-expected iPhone 7 demand,'” Seitz reports. “While the iPhone 7 is doing well, the rumored iPhone 8 should do even better, she said. That 10th-anniversary handset is expected to have a glass-case design and OLED display. iPhone 7 sales should help Apple’s stock in the near term, “but the real catalyst is the fiscal 2018 supercycle” from the iPhone 8, she said.”

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