We currently see no delay in the ramp of Apple’s upcoming flagship 5.8″ or 6.5″ OLED iPhones. However suspected issues with LED backlight leakage have caused a 1 month delay in mass production of the 6.1″ LCD iPhone, although this is down from a 6-week delay baked into the original production forecast, according to suppliers. — Morgan Stanley analyst Katy Huberty
Ray reports, “Still, Huberty, who has an Overweight rating on the stock, raises her price target to $232 from $214 to reflect the fact that peer stocks are getting more richly valued of late, [writing]: ‘We value Apple’s Hardware/Device business (82% of FY19 revenue) using a blend of an HPQ and MSFT EV / Sales multiple, and the Services business (18% of FY19 revenue) using the median of 10 internet/services/platform EV / Sales multiples. With the average internet/platform comp up 16% since May 1 (and MSFT up 12%), we’ve seen a meaningful re-rating of peer multiples, which subsequently increases our SOTP-driven price target for Apple to $232, from $214.'”
Read more in the full article here.
MacDailyNews Take: Suboptimal, if true, but better to have it right in October than wrong in September.