Apple “remains a top tech name to own,” Wedbush analyst Dan Ives said as he affirmed an outperform rating and $185 share-price target on the computer and cellphone giant.
Shares of the Cupertino, Calif., company at last check were off 0.4% at $150.49.
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“Our favorite large-cap tech name to play the 5G transformational cycle is Apple,” Ives said in a research note, “with the 1-2 punch of its massive services business and iPhone product cycle translating into a $3 trillion market cap for Cupertino in the next 6 to 12 months.”
Ives said that the current iPhone 13 launch is slated for the third week in September and reportedly will have at least three new camera and video-recording elements
“From a spec perspective,” Ives said, “we have increased confidence that iPhone 13 will have an eye-popping 1-terabyte storage option which is double from the highest Pro storage capacity today (512GB) and will also include a number of key enhancements with Lidar across all iPhone 13 models.”
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The analyst added that with roughly 20% of upgrades anticipated out of China, “we are continuing to see robust demand in this key region which bodes well heading into the iPhone 13 upgrade cycle.”
“In a nutshell on the iPhone front,” Ives said, “we believe the robust consumer product cycle continues globally for [Chief Executive Tim] Cook & Co., especially with today roughly 250 million of the current 975 million iPhones not upgrading their smartphones in over 3.5 years based on our analysis, speaking to massive pent-up demand within Apple’s installed base.”
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The recently introduced Open App Markets Act would “protect developers’ rights to tell consumers about lower prices and offer competitive pricing,” among other things.
Some observers say this could be a problem for Apple’s App Store.
“We believe the App Store remains a very defendable moat both in the courts and in the Beltway,” Ives said, “and speaks to our view that Apple remains more…