Wall Street analysts are bullish about prospects for Apple’s forthcoming “iPhone 13” family of smartphones, expected to be unveiled next Tuesday, September 14th alongside the Apple Watch Series 7 smartwatch lineup.
The upgrades are said to include a faster processor, improved cameras, a smaller notch, better displays, longer battery life. It also could include satellite communication technology that would allow users to send emergency messages when in areas without cell service.
In a note to clients, Evercore ISI analyst Amit Daryanani said the iPhone 13 should do well with consumers.
“While we are coming off of a very strong iPhone cycle, strength can be sustained as Apple continues to gain share in China coupled with increased phone usage/higher disposable income in the U.S. (which) could result in shrinking replacement cycles,” he said.
The new handsets will be Apple’s second-generation 5G smartphones. Wireless carriers are likely to offer attractive promotions to get consumers to upgrade to 5G service plans, Daryanani said.
“Carriers have spent material dollars to build 5G capacity and could compete for new subscribers with the iPhone (13) cycle,” he said.
On Thursday, Piper Sandler analyst Harsh Kumar raised his price target on Apple stock to 175 from 165. He kept his overweight, or buy, rating on the stock.
“Based on our conversations with multiple AT&T (T), Verizon (VZ), and T-Mobile (TMUS) stores, iPhone 12 demand remains strong, as trade-in programs and overall strong features continue to push adoption,” Kumar said in a note to clients. “Given the iPhone 12’s popularity and the still largely unpenetrated 5G install base, we see the iPhone 13 continuing the momentum, even if the features are mostly similar to the iPhone 12.”
MacDailyNews Note: Evercore’s Daryanani reiterated his outperform rating on Apple stock with a price target of $180. This is a multiyear iPhone upgrade supercycle. As more users come off contracts, more “iPhone 13” units will be sold.