Rosenblatt hikes Apple target $29 to $189

From Carmen Reinicke's "Small research firm disagrees with Bank of America call, upgrades Apple and predicts 25% rally" ($) posted Thursday on CNBC Pro:

Rosenblatt Securities on Thursday upgraded shares of Apple to buy from neutral, directly disagreeing with a rare downgrade from Bank of America.

The small firm boosted its rating on the technology heavyweight and raised its price target to $189 from $160, implying that shares could spike more than 25% from current levels. Bank of America, in its downgrade, said it doesn’t see Apple’s stock continuing to outperform...

Rosenblatt’s bullish call comes after a survey of more than 1,000 U.S. adults from the firm showed strong demand for Apple products, including the new iPhone 14 Pro Max and Ultra Watch.

“Some 29% of respondents to our census representative survey of U.S. adults (which has a margin of error of 3% and was conducted Sept. 20 online via SurveyMonkey) said they already had or expect over the next 12 months to buy iPhone 14 -- including 33% of current iPhone owners and 18% of Android owners,” analyst Barton Crockett wrote in a Thursday note. “This implies a 75 million base of people in Apple’s home country who want this device.”

The survey results also showed that consumers want the pricier, new Apple models. Some 40% of respondents said that the iPhone 14 Pro Max was their top choice to buy, while the less-costly iPhone 14 Pro came in second, with 26% picking the phone as their top choice. There were similar results showing that demand is strong for Apple’s new Ultra Watch, which has a base price of $799, according to the note.

Upgrades to Buy from Neutral, raises target to $189 from $160. 

My take: Only $4 away from being an exact mirror image of today's move by BofA.

7 Comments

  1. Horace Dediu said:
    Who’s going to believe large-n surveys when you have anonymous supply chain sources cited by copy-paste hacks? Who?

    14
    September 29, 2022
    • Rick Povich said:
      I happened to see that interview and it was a bunch of speculation from Mohan. And during the interview the host quickly noted/mumbled something to the effect of “but there was also an upgrade this morning as well” and that was that. All the time was spent letting Mohan make his case that Apple was doomed but no counterpoint from the talking head about the price increase – and the analyst’s reason for it in contrast. This is just the umpteenth time to over the years to raid the Apple piggy bank

      5
      September 29, 2022
    • Alan Birnbaum said:
      With humble acknowledgement to Don Henley:

      You can’t hide your lyin’ eyes
      And your smile is a thin disguise
      I thought by now you’d realize
      There ain’t no way to hide your lyin’ eyes

      1
      September 29, 2022
  2. George Ewonus said:
    Really enjoy your posts, Horace. Nice to hear a sane voice amongst all the predictable FUD.

    3
    September 29, 2022
  3. When Apple starts EV production, US assembly will be in the massive Lordstown Ohio plant Foxconn purchased for $230 million in July. I realize Lordstown Motors is struggling to build an electric pickup in that location but the Taiwanese did not buy the plant for its Endurance pickup output.
    It is true that Foxconn has several models of EV it produces in China now. I expect they’ll grow a skilled workforce in Ohio assembling their C, T and E model SUVs, trucks, and sedans. Various Asian EV parts suppliers will no doubt set-up shops in Ohio or Michigan, many have a US presence already. This supplier network is the clincher.
    When Apple’s electric ride is ready there’ll be US-sourced models, eligible for any incentives, coming off the line in Lordstown.
    Other than my family history in the automotive industry, extensive Foxconn research and state & Federal incentives in place, this is all speculation on my part.

    9
    September 29, 2022
    • David Emery said:
      In the ’70s, my father did some civil engineering work on Lordstown plants. So, if for no other reason, I hope you’re right.

      2
      September 29, 2022
  4. Steven Philips said:
    Rather perturbed by BoA doing a Whamsi on AAPL. (Copycat!)
    And I now throw Bloomberg on the same pile as WSJ & Forbes & NYT.

    Hut one, hut two, hut… twenty-nine (?) C’mon, let’s get this game going!
    And penalize Bloomberg/BoA for delay.

    1
    September 29, 2022

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