Citi analyst Jim Suva raised the price target on Apple (NASDAQ: AAPL) to $400.00 (from $310.00) for five reasons:

1) Upcoming 5G iPhone Launch - the press event is still expected in September with availability slightly later than in the past.

2) Current Expectation Have Been Reset Lower - Consensus estimates for iPhone sales have declined by ~15% y/y over the next two quarters

3) Potential for Share Gains - share gains from Huawei (given restrictions on using North American) could result in incremental sales of ~$8bln to Apple. Huawei targets the mid- to high-end market segment, and hence its customers would likely shift to brands in a similar segment.

4) Wearables For Apple Still High Growth - Wearables represent 10-11% of Apple’s revenues. The latest data from IDC suggests that Apple continues to dominate the wearables segment in 1Q20, with 29% of the overall shipment (up from 24% a year earlier).

5) Apple Services - Apple Services continues to accelerate, specifically with the App Store (~30% of Services), as engagement with apps continue to accelerate. These trends remain a tailwind to the App economy, and consumer engagement with games and fitness apps remains at all-time highs even as restrictions have been eased.

The analyst maintained a Buy rating, stating "While smartphone growth remains tempered near term,wearables, services revenue growth and installed base growth are positives. The full product + software + service package is what makes Apple unique as others do not control this. We see Apple shares as attractive given the revenue diversification, unique product + service set and potential for strong cash flow generation and shareholder returns".