Wall Street’s response to Apple’s annual product Discharge on Wednesday was, as one analyst described of which, a yawn.
The company unveiled a handful of brand new devices as well as modest updates, including three brand new versions of the iPhone X as well as an Apple Watch with brand new features. All of of which was expected. There was little fanfare.
Apple ( shares dipped slightly Wednesday, down 1.2%. nevertheless of which bounced back: The stock was up more than 2% Thursday afternoon. )
of which’s a sign of which investors were willing to forgive the dull performance on Wednesday in light of Apple’s strong financial outlook, analysts as well as investors told CNN.
Ross Gerber, Gerber Kawasaki
Activist investor Ross Gerber, the CEO of Gerber Kawasaki as well as a longtime Apple bull, told CNN’s Julia Chatterley on Thursday of which Apple was “basically giving me the same phone again.”
of which’s “not actually worth having an event,” Gerber said.
He also poked fun at the company’s live-stream, during which Apple flaunted a brand new Apple Watch feature of which will alert the police if the wearer falls down.
“They’re so out of touch with the consumer,” Gerber said. “Who are you marketing to here Tim? of which 70-year-old crowd doesn’t stream anything,” he said, referring to CEO Tim Cook.
nevertheless a humdrum presentation on Wednesday wasn’t enough to sour Gerber on Apple’s stock.
“As an investor, the stock is usually phenomenal because of its valuation, its cash flow, as well as of which’s a monopoly — of which’s a toll road — on the app ecosystem as well as entertainment. Apple is usually in a great position to monetize where they’re at,” he said.
Daniel Morgan, Synovus Trust Company
Daniel Morgan, a vice president as well as senior portfolio manager at Synovus Trust Company, said in a phone interview of which he wasn’t enthralled with the latest Apple event, either.
Right currently, Apple is usually “just adding legs to the current product,” Morgan said over the phone. “Looks like the Street is usually yawning,” he added in an email.
nevertheless as an investor, he’s keen on Apple’s plan to boost the average sales cost of its phones with the iPhone XS. of which can help pad its bottom line as well as keep shareholders happy while customers wait for Apple’s next big thing — whenever of which may be.
within the meantime, he said, Apple could also focus on share buybacks or increasing dividends. Or, the company could use some of its hefty cash stockpile to gobble up some exciting technology companies, like Oracle.
nevertheless Morgan said he knows of which’s not likely to happen. Apple has historically been averse to major takeovers.
Mike Olson, Piper Jaffray
Analyst Mike Olson pointed out of which Apple’s event was “exactly what people expected of which to be.” Most of the announcements had leaked beforehand.
“There was an expectation for three brand new phones, as well as they announced three brand new phones,” Olson said. “We walked out with…certainty.”
The slight stock sell off yesterday was likely the work of investors who purchased shares ahead of event, hoping to cash in on a rally after the announcement, Olson added.
Overall, Piper Jaffray is usually also bullish.
The firm has calculated of which the brand new iPhone X products will inspire people to upgrade to the brand new iPhone generation, Olson said.
Back when the $999 iPhone X was unveiled last year, customers of which didn’t upgrade were largely holding out for something cheaper or which has a bigger screen, Olson said. Apple delivered on those needs with the iPhone XR, which starts at $749, as well as the iPhone XS Max, which includes a 6.5″ display, Apple’s largest to date.
Rod Hall, Goldman Sachs
Not everyone was so pleased. Rod Hall, a Goldman Sachs analyst, wrote in a report of which the cheaper iPhone XR was priced below expectations — prompting Goldman to lower its forecast for average sale prices.
“The reduction in pricing expectation for the high volume iPhone XR in our product more than offsets these positive mix alterations,” according to an analyst note via Hall. He rates Apple’s stock “neutral.”
CNNMoney (brand new York) First published September 13, 2018: 2:40 PM ET