2022-04-29 06:31:13 AAPL Apple
04/29/22 04/2906:31 04/29/2206:31 | Apple earnings selloff a buying opportunity, says CitiCiti analyst Jim Suva says Apple's "very impressive results" that exceeded consensus for both sales and earnings will be overshadowed by the company's supply chain commentary stating constraints of $4B-$8B for the June quarter. While this is not a positive, the problem is as a "good" problem because demand is materially outpacing supply and Apple's installed base continues to grow, Suva tells investors in a research note. "For those who argue that demand is declining and want to be negative on the stock, we point to the long product lead times, no compelling competitive substitution product, and an Apple installed base that is growing that will lead to future services revenues, which are more profitable than product revenues," writes the analyst. He would use any stock weakness as a buying opportunity and keeps a Buy rating on Apple with a $200 price target. |
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