Advising to buy Apple on the dip, Morgan Stanley analyst Katy Huberty reiterated an Overweight rating and $130 price target on Apple. In her note to clients, Huberty spotlighted positive data points for the company that provide a “compelling entry point” ahead of the new iPhone launch.
Huberty said checks suggest that Apple is “taking share in Europe and China which is corroborated by strong iPhone 11 builds in the month of August.”
The analyst highlights the pace of Apple’s [COVID-19] retail store reopenings accelerating. Apple’s total open retail store count to 446 of 512 stores (87% of all stores), the highest since the end of [Calendar] 2Q20.
They continue to see lead times extending for Apple’s Mac and Macbook lineup, which they believe points to strong demand, rather than a lack of supply, for Apple’s computer products.
MacDailyNews Take: These Apple dips are gifts.