Apple (AAPL) 06 (Aug 23 - Dec 26)

[winston]

not vested

AAPL: Forget the iPhone—Services Will Drive the Next Phase of Growth

by Sam Quirke

There's a growing argument that Apple's Services segment is significantly undervalued by the market and could by itself add as much as $13 to the company's share price.

The segment's margins alone, at more than 70%, make it a compelling pillar in the bull's long-term thesis for the stock.

Tigress Financial, Wedbush, and TD Cowen, have all issued or reiterated bullish price targets this month, ranging up to $400, suggesting Wall Street is starting to connect the dots.

Source: Market Beat

[behappyalways]

Apple Slashes Prices in China to Save Market Share, Huawei and Xiaomi Forced to Follow Suit | TVB...
https://m.youtube.com/watch?v=W06vsTVXZ ... MLAYcqIYzv

[behappyalways]

"The Situation Has Become Unsustainable": Apple To Hike Prices To Offset Soaring Memory Costs
https://www.zerohedge.com/markets/situa ... mory-costs

[behappyalways]

Apple's price increases:
MacBook Air rose $200 to $1,299
Base MacBook Pro increased $300 to $1,999
Entry-level MacBook Neo increased $100 to $699
iPad Air increased $150 to $749
iPad Pro increased $200 to $1,199
iPhone prices unchanged for now, though the company hinted at more increases in a statement.
https://x.com/zerohedge/status/2070126155949064411

[behappyalways]

Apple Wants To Buy Memory From China As Soaring Chip Prices Spark Inflation Shock
https://www.zerohedge.com/markets/apple ... tion-shock

[winston]

not vested

Apple’s AI Toll Booth Thesis Faces Its Biggest Test Yet Before Earnings

Apple’s premium valuation is riding on whether its AI strategy can start paying off in real revenue and margin gains.

With costs rising and China sales softening, this earnings report could decide whether the “toll booth” story holds up.

Apple's so-called 'toll booth' AI thesis remains unproven since the company currently pays other firms for AI models rather than monetizing its own ecosystem.

KeyBanc's rare Underweight downgrade warns that rising component costs have already lifted Mac and iPad prices and could soon slow iPhone revenue growth in fiscal 2027.

Trading near 36 times forward earnings with China sales softening, Apple's July 30 report must show AI is boosting Services or margins to justify its valuation.

Source: Market Beat

[behappyalways]

Alibaba's Qwen AI Will Be Integrated Into Apple Phones In China Amid Push For Local Models
https://www.zerohedge.com/technology/al ... cal-models

[behappyalways]

iPhone a Huge Cash Cow! Apple Revenue Grows Over 15% for 3rd Consecutive Quarter, but Cook Warns ...
https://m.youtube.com/watch?v=trf0hF0K_ ... MLAYcqIYzv


Apple Tumbles On China, Service Revenue Miss
https://www.zerohedge.com/markets/apple ... venue-miss

[behappyalways]

China's Swagger After India's iPhone 18 Leak
https://m.youtube.com/watch?v=fECqO2dnyGQ

[winston]

not vested

<Research> Jefferies Downgrades Apple Inc. (AAPL.US) to Underperform as Higher Trade-in Values May Cannibalize Demand

Jefferies said in a research report that supply chain checks found that Apple Inc. (AAPL.US) planned 20th anniversary all-glass iPhone model, originally scheduled for launch in Sep 2027, has now been cancelled due to weak production yield rates.

The broker viewed this as a major setback to Apple's efforts to raise iPhone average selling prices and profit margins.

It estimated the model's average retail price at around USD2,060, while Apple had originally planned to extend the all-glass design to future Pro and Pro Max models to further lift pricing and margins.

Following the cancellation, the broker lowered its forecast for iPhone ASP CAGR for FY2026 to FY2031 from 9% to 6.8%.

Jefferies said foldable iPhones carry high price tags, with the 256GB version expected to start at USD2,199 and the 2TB version reaching USD3,099.

The broker expects the product to remain niche, forecasting FY2028 sales volume at 14 million units.

Meanwhile, supply chain data showed the iPhone 19 Pro Max memory will be upgraded from 12GB to 16GB, but only for the Pro Max variant, reflecting that under current memory pricing,

Apple Intelligence is unlikely to support a substantial increase in memory configuration.

Apple last week raised trade-in values in the US and European markets by 5% and 2%, respectively, but cut trade-in values for the iPhone 16 Pro and Pro Max in China by 5% and 2%, respectively.

Jefferies believes this may boost demand for the iPhone 17, but could create greater pressure on iPhone 18 sales, given limited feature upgrades alongside an expected price increase of more than 10%, with demand likely being pulled forward.

Jefferies lowered its FY2028 and FY2029 EPS forecasts for Apple Inc. (AAPL.US) by 2.1% and 3.4%, respectively.

It also cut the TP to USD263.66 and downgraded the rating from Hold to Underperform.

Source: AASTOCKS Financial News

https://www.aastocks.com/en/stocks/news ... -news/AAFN