A note from another big Apple watcher addressing last week’s “Peek performance” event. That’s the event wherein Apple announced plans to bring baseball to Apple TV+. It’s also where/when the company announced an updated iPhone SE, an updated iPad Air, the new Mac Studio desktop, and the new Studio Display. Reacting to the event - Morgan Stanley analyst Katy Huberty. Apple 3.0 ran part of a note she wrote. Quoting part of that part:
While many of these products won’t necessarily move the needle on a standalone basis (difficult to do for a >$365B revenue company), they will collectively represent tens of millions of incremental product shipments that will help Apple maintain industry-leading retention rates, attract new users (Apple added more new users to the iPhone lineup this fall than in any of the past 5 launches), and grow both hardware and services spend per user…
That, to me, is so insightful. So many analysts and Apple watchers are still looking for the next iPhone. Apple may be too big for that at this point, save something truly revolutionary. And even then, with so many Apple products and services doing as well as they are, would we even be able to make out how big the next big thing is when it hits? So often, I like the way she thinks.
Huberty has an “Overweight” rating on Apple shares. While she’s maintaining her firm’s price target on the shares of $210, she and hers see upside to their previous expectations around iPhone and the Mac.
