From a note to clients snagged by MarketWatch:
Nomura Instinet analyst Jeffrey Kvaal upped his price target on shares of Apple Inc. to $215 from $210 on Friday, writing of "stabilizing" shipment times for the iPhone XS and XS Max. That "lifts visibility into the trajectory of two of the three new phones," he said. Shipment times for the iPhone XS Max look "more robust than anticipated," according to Kvaal, who said that Chinese consumers can get the phone within about a week while U.S. shoppers can get one after about two weeks. Shipment times for the iPhone XS are down to about five days. "We interpret this as a mix shift towards the Max, not higher demand," Kvaal wrote.
Maintains Neutral rating and raises price target to $215 from $210.
My take: Just want to point out that this is the second time in three weeks that Kvaal has raised his 12-month price target below Apple's current price. Meanwhile, waiting for the note.
See also: Apple: Why Nomura set an underwater price target ($210)
The Watch enjoys high demand. We expect, or hope for, refreshes to the lower end of the MacBook to address pent-up demand. Both will contribute to revenue growth.
Kvaal confuses “unit” demand with “price” demand. Obviously, consumer “demand” is skewed to the higher priced models of an iPhone that is priced, on average, 3X higher than its competitors. In a world dominated by cheap handsets that’s a good thing, a very good thing.
Oh, I got AirPods with the iPhone. If I had waited I wouldn’t have needed to buy them a couple months ago.
All done. Total change over time 36 of the easiest minutes I’ve ever dealt with.
I don’t understand Kvaal’s dismissal of the significance of the iPhone’s model mix. Apple is shipping the Xs Max very quickly. This has to be good for ASP and total revenue for this and the December quarters.
The iPhone Xs series (excepting Xr) is being delivered for 9 days in the September quarter. My order was made on Monday and I got it today just 4 days later. Somehow I think total iPhone Xs models shipped in the September quarter will exceed 10 million handsomely.
One last thought. My gosh, this thing is beautiful.
You must have lucked out. 😉
PS: Still love using the AirPods; Apple’s greatest little product in years.