Piper ups Apple target to $196 after iPhone price analysis
The combination of a higher priced iPhone 8 relative to the iPhone 7 and launch of iPhone X should result in a year-over-year average selling price uplift for Apple, Piper Jaffray analyst Michael Olson tells investors in a research note. The analyst now models an iPhone average selling price in fiscal year 2018 of $710, above the consensus at $696. Despite potential for iPhone 8 to see a short-term negative impact from customers waiting for iPhone X, investors should own Apple on potential for a strong overall iPhone cycle, Olson writes. He raised his price target for the shares to $196 from $190 and maintains an Overweight rating on the name. Apple closed yesterday down $2.68 to $153.39.