- Tools for Investors
- Stock News
- Investing Ideas
- Econ & Policy
- Personal Finance
iPhones Get Cheaper?
A survey that found customers were increasingly shifting to cheaper iPhones with less memory has prompted UBS analyst Steve Milunovich to cut his price target on Apple’s stock from $700 to $650. Milunovich maintained his Buy rating on the company, but also trimmed his sales estimates for both the current fiscal year and the next. The Consumer Intelligence Research Partners survey found that average demand for storage had fallen from around 30GB with the iPhone 4S to 20GB with the iPhone 5. Also, fewer customers were opting for the 64GB models of the newer phone and demand for older models grew from 33 percent in the 4S product cycle to 50 percent in the iPhone 5 cycle. (Read more)
Markets are at 5-year highs! Discover the best stocks to own. Click here for our fresh Feature Stock Pick now!
Apple needed to start focusing less on hardware sales and more on the potential revenue from its services, according to Barclays Capital analyst Ben Reitzes, who reiterated an Overweight rating and a $740 price target on the stock in a research note on Tuesday. According to the analyst, new services could lead to a two-point recovery — equating to about a $100 move — in Apple’s multiple points rather quickly. Reitzes even provided an example from Google’s software value to prove the importance of having a strong ecosystem, citing the maps debacle. The analyst expected to see the “seeds of this innovation” in March, when, according to him, Apple will preview iOS 7 at an iPad launch event. (Read more)
Don’t Miss: Does Apple Need an Ambition Overhaul?
Don't miss one of the biggest bull markets in history! Covers Gold, Silver, Gold & Silver stocks, and miners.
There's always a bull market in some sector! Find the best opportunities in commodities.