“Morgan Stanley’s Katy Huberty and her team take a look at Apple [this week], writing that they raised their revenue and earnings per share estimates by 2% for 2018, and raised their price target $5, to $199,” Teresa Rivas reports for Barron’s.
“Huberty writes that Apple is shifting into a supercycle into calendar 2018, based on the ramp up in iPhone X manufacturing,” Rivas reports. “Although the ramp was slower than expected due to low 3D sensor module yields, that doesn’t mean that consumers will forego the new model all together — she now predicts global iPhone sales of 268 million through calendar 2018, with sales shifting from the fourth quarter to next year.”
Additionally:
Apple Watch demand the biggest positive surprise – potentially doubling revenue by 2019. While iPhone contributes the majority of revenue and profits, Apple Watch is growing in importance, potentially doubling revenue contribution to Apple top-line in the next two years. Twenty-one percent of U.S. survey respondents and 29% of U.S. iPhone owners plan to purchase an Apple Watch in the next year. Additionally, over two-thirds expect to purchase the watch with cellular functionality, putting upward pressure on ASPs. While we recognize that the consideration to purchase an Apple Watch does not necessarily translate to a purchase, we see an upward bias to Street Apple Watch forecasts. — Katy Huberty, Morgan Stanley
Read more in the full article here.
MacDailyNews Take: We agree with Katy on the looming, slightly-delayed supercycle. Vroom, vroom!
[Thanks to MacDailyNews Readers “Fred Mertz” and “Bill D.” for the heads up.]
as long as you keep running that picture i am going to keep asking why superman needs to ride a motorcycle.
But seriously, plastic supermen have no super powers so they have to rely on a plastic motorcycle to convey the idea of a motive force.
Same reason God needs a starship.
Sorry, to say but the reports are just plain inaccurate. Apple watch, iPhone and the rest of the damned company in Cupertino along with the brand new space ship building are doomed. Doomed, just like they were in 07, 08, 09, 10, 11, 12, 13, 14, 15, 16, 17 and for sure the final staw will land them in bankruptcy again in 2018, 19, 20, 21, 22, 23, 24, 25, 26, 27…………………..!