Cowen Sees Apple (AAPL) Likely to Bounce on Earnings, iPhone Upside and Flight to Quality

January 24, 2022 8:57 AM EST
Get Alerts AAPL Hot Sheet
Price: $137.35 -2.46%

Rating Summary:
    44 Buy, 19 Hold, 4 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 4 | Down: 15 | New: 7
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Cowen analyst Krish Sankar reiterated an Outperform rating and $180.00 price target on Apple (NASDAQ: AAPL) ahead of Dec (F1Q) earnings on 1/27. Expectations are for inline or above consensus despite the ~$6B impact of component shortages.

The analyst stated "Our field work suggests possible NT iPhone unit upside. We model Dec / Mar Q (F2Q) iPhone shipments of 82M / 57M. Given resilient iPhone and Mac demand, we see AAPL as a high-quality "flight to safety" name to own during market volatility." He went on to comment "Our latest industry field work (see Smartphone Monthly here) suggests Dec Q builds reached 88M units vs our 82M sell-in forecast. Depending on shipment timing, we believe every 3M units drives ~$0.05 of EPS upside. For the Mar '22 Q, builds are tracking to 59M vs our 57M sell-in estimate and note tough Y/Y comps in C1H22. Also, a new 3rd gen 'iPhone SE' target price sensitive consumers could contribute modestly to sales by late F2Q."

For an analyst ratings summary and ratings history on Apple click here. For more ratings news on Apple click here.

Shares of Apple closed at $162.67 yesterday.

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