Deutsche Bank analyst Jeriel Ong says it’s time to buy Apple stock. Ong on Tuesday upped his rating on Apple from Hold to “Buy,” while lowering his price target on the stock from $295 to $270.
With the recent downturn, Ong has become more comfortable with the stock price.
Ong concedes that there are risks, including Apple’s ongoing retail store closures, supply chain issues and weaker demand as a result from the global coronavirus pandemic—but he considers all of those risks to be short-term in nature.
Ong thinks the coming 5G iPhone cycle will drive strong unit growth, and he expects further strong growth for AirPods. He sees the services segment benefiting from the 1.5 billion+ active installed base of Apple devices. And he thinks gross margins will have an upward bias as a shift to services continues.
MacDailyNews Take: So far, amidst the COVID-19 rollercoaster ride (which surely hasn’t ended yet), Apple’s low was $212.61 on March 23, 2020, just two days ago. Today’s AAPL high, so far, stands at $258.00. Hang on tight, Apple shareholders!