"If Apple was to win the coveted Best Picture award with CODA it would catalyze more A+ talent coming to Apple first."
From a note to Wedbush clients that landed on my desktop Sunday:
Tonight is potentially a monumental event for Apple as the company is nominated for six Academy Awards for its Apple TV+ streaming service including a historic nomination for Best Picture with its groundbreaking film "CODA".
Apple through this awards season has already established itself as a premium content contender with traditional Hollywood stalwarts as well as Netflix, with its CODA Best Picture nomination potentially a game changer for its streaming ambitions going forward.
Apple's content efforts to date have been selective and lacked widespread acceptance within Hollywood as well as from consumers which has been a major hurdle to finding next level success with its streaming endeavors. While Ted Lasso and The Morning Show have gained massive audience success the last few years, Apple has lacked important credibility from Hollywood with tonight's Best Picture nomination a major home run for starters just to be in the running.
If Apple was to win the coveted Best Picture award with CODA it would catalyze more A+ talent coming to Apple first (or in the top bracket) and could propel Cupertino's content efforts by multiples over the coming years with a major paid subscriber boost.
Maintains Outperform rating and $200 target.
My take: He's right. Talent flows to prestige almost as much as to money. Artistic freedom counts too, but Apple -- not as laissez faire as the old HBO -- is still landing big scripts and big names.
BTW, CODA was a simple story, told well. Not sure I saw anything I would call "groundbreaking."
Cue the trailer: