“Despite likely slow initial iPhone sales due to its high price point, Needham & Co. analyst Charles Wolf believes the new gadget’s price will fall at a 20 percent rate annually due to declining component costs and rising carrier subsidies,” MacNN reports.
“‘The decline in price should accelerate demand as the iPhone invades the sweet spot of the mobile phone market,’ Wolf wrote in a research note obtained by MacNN. ‘With carrier subsidies, the iPhone should sell for around $75 in the final year of our forecast.’ Wolf is predicting sales of 135 million iPhones in 2016, equating to a 7 percent market share for an increase of $20 net to Apple’s target price. Wolf raised the research firm’s target price on Apple shares from $115 to $135,” MacNN reports.
Full article here.
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Slew of analysts up price targets on Apple Inc. – January 18, 2007
