Strong summer for Apple seen muting financial effect of late 'iPhone 8' launch

Posted:
in iPhone
Another analyst is agreeing with the assessment that any potential "iPhone 8" delay won't make much a difference to Apple's bottom line beyond one quarter, if at all.




In a new research note provided to AppleInsider on Wednesday, Timothy Arcuri of Cowen and Company emphasized that "iPhone 8" sales that do not occur in September are not lost, and are just moved to the next quarter. Like other recent analyst notes, Arcuri has not only increased Apple's third fiscal quarter iPhone sales numbers, but he has also made a jump in the holiday quarter's numbers.

Citing a continuing strong demand for the iPhone 7 family, Arcuri believes that Apple will sell up to 45 million iPhones in the quarter ending in September, up from the 43 million previously predicted. However, he also believes that Apple will sell 90 million iPhones during the holiday quarter -- which would be a new record.

The mix is heavily in favor of the iPhone 7 in 2017 according to the research note. The iPhone SE is expected to be only 2 percent of the contribution versus 9 percent, and as a result, average selling price is likely to top $626 for the quarter.

Arcuri also believes that there will be a later than normal launch for the "iPhone 8." Furthermore, the report also states that Apple is unlikely to settle for a rear-mounted Touch ID sensor, nor will it omit it entirely in favor of a facial recognition system.

Cowen is maintaining a $160 price target for Apple stock through the end of 2017, assuming the company makes a $49.5 billion earnings target.

Comments

  • Reply 1 of 10
    gatorguygatorguy Posts: 19,280member
    Apple will be just fine whether the new iPhone models launch in September or December. Far too much being made about the timing. 
    SpamSandwich2old4funcaliSoli
  • Reply 2 of 10
    macxpressmacxpress Posts: 4,578member
    Like Apple will be really hurting financially if they have a bad quarter....
  • Reply 3 of 10
    lkrupplkrupp Posts: 6,403member
    So after all the negativity being vomited around now analysts are suddenly turning positive. WTF is going on with these idiots? Of course Warren Buffet’s advice is to never listen to the man. Instead listen to the market.
  • Reply 4 of 10
    lkrupplkrupp Posts: 6,403member
    gatorguy said:
    Apple will be just fine whether the new iPhone models launch in September or December. Far too much being made about the timing. 
    Yeah, well, what would Apple rumor sites and analysts do if people actually believed that? Gotta have the drama, the hand wringing, the prognostications, the banter, the recriminations, the arguing. How would we go on with life if we took it easy?
  • Reply 5 of 10
    crossladcrosslad Posts: 461member
    gatorguy said:
    Apple will be just fine whether the new iPhone models launch in September or December. Far too much being made about the timing. 
    Whilst I am sure Apple will be fine, I am also certain the do not want to miss the Christmas period as this is their busiest quarter by far. 

    Disappointed that the sales forecast for the SE is so low, my wife and I have just got one each and they are a fantastic little phone. 
  • Reply 6 of 10
    brucemcbrucemc Posts: 1,437member
    Reality is a difficult place for many to live, and with the advent of the Internet, it became so much easier to just live in an echo chamber.  How many articles are published in a week that take the position that Apple's iPhone business sits on a "knife edge" and all it takes is Samsung or other to have a "cool new feature" (or now "design") and hordes of people will move to that new phone [hundreds of articles globally is my guess].  It is especially acute this year with Samsung's S8 design.

    Do these writers really (really) believe that the vast, overwhelming majority of iPhone users will jump to a competitor if it "looks sleeker", or is rated better by Consumer Reports?  Are they that clueless?  Is their value that low?

    Yes, of course Apple can't simply coast, but all evidence past is that they are investing more.  Design is more than how something looks.
  • Reply 7 of 10
    farmboyfarmboy Posts: 152member
    gatorguy said:
    Apple will be just fine whether the new iPhone models launch in September or December. Far too much being made about the timing. 
    Yes. If Apple misses December, that might be an issue. Every other launch time doesn't matter.
  • Reply 8 of 10
    This is way too much hand-wringing over iPhone 8's imaginary future doom.
  • Reply 9 of 10
    This is way too much hand-wringing over iPhone 8's imaginary future doom.

    The analysts are worried that it will actually do well!
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