From a note to clients by analyst Daniel Ives that landed on my desktop Friday:
On Monday Apple will be hosting another virtual product launch which we expect Cook & Co. to launch a handful of products led by the MacBook Pro and likely the new AirPods 3. Ironically, in the face of the biggest chip shortage seen in decades Apple is launching two key products into holiday season speaking to the company’s confidence around getting the new Macs/AirPods into customer hands by holiday season despite the doomsday supply chain skeptics.
With Apple’s new Silicon chips front and center Cupertino continues to refresh its hardware ecosystem across the board with Monday a long anticipated day for Mac Pro power users to finally get the the new Apple chips on board.
The star of the show at the event will be the new M1X-powered MacBook Pros with 14-inch and 16-inch models. The new MacBook Pros are expected to feature a mini-LED display, an HDMI port, MagSafe for charging, among other new feature.The proprietary M1X processor is the foundational part of this MacBook and ultimately we believe will be a game changer that will convert 30%+ of current MacBook users to upgrade over the next year catalyzing growth on this hardware segment…
The biggest wild card heading into Monday is around the AirPods 3 launch, does it happen or not? We know based on our supply chain checks that the new AirPods 3 have been built, manufactured, and awaiting shipment globally but will Apple ultimately unveil these Monday remains a debatable issue within the Apple tech community.
Maintains Outperform rating and $185 price target.
My take: For me, the biggest wildcard is AAPL’s performance after the event. Lately, there’s no good news from Apple that hasn’t gone unpunished.