Bernstein Analyst Sees Short Term Strength for Apple Shares Ahead of Next iPhone

24 JUNE 2022 - You know, people can be annoying. Lots of people. People who stand too close to you at the grocery store. People who kick the back of your seat on a plane or train. Lots of people can be annoying. Today though, I’m thinking specifically about Bernstein Research analyst Toni Sacconaghi and whoever wrote the piece for Seeking Alpha about Bernstein Research analyst Toni Sacconaghi.

Well, whoever wrote the headline. “Apple rises as Bernstein says stock could outperform over next few months, citing history,” it says. Everything I follow in the States was up yesterday. I don’t think Apple did that by itself, and I certainly don’t think Sacconaghi talking about Apple created that kind of ripple. Just… stop already.

Sacconaghi has a “market perform” rating on Apple shares. And yet, he thinks Apple shares will outperform the market for the next three-months - just as they’ve done for 14 of the last 15 years. Not these July, August, and September months specifically. Rather, he’s referring to the three-months ahead of an anticipated iPhone release. Those used to be in June or July, now they’re not. According to Seeking Alpha:

With the company likely to announce the iPhone 14 in September, Sacconaghi notes there is “some opportunity for Apple to potentially outperform modestly over the next few months per its historical pattern,” but the analyst added that the risk-reward over the next six months to two years is “neutral to modestly negative.”

Because as far as Sacconaghi is concerned, all Apple does is make iPhones. What’s annoying is, not only does he continue to discount anything Apple does except iPhone, he issued a note earlier this week that seemed to indicate rough sledding for iPhone this year #InThisEconomy. He must be given props on one thing though: consistency. I’m not kidding. All he can see is iPhone. While history tells him that Apple shares are likely to pop headed into the next iPhone, he’s not day trading. He’s advising for the long term. Of course, he’s also been wildly wrong about Apple for years but - you know… he’s consistent!

As mentioned before, Saccanoghi has a “Market Perform” rating on Apple shares. His price target on the shares is $170.