Apple Meeting Demand Despite iPhone 13 Supply Challenges

The largest company in the world recently presented its new lineup of several products, and since then has been experiencing bullish numbers in regard to supply and demand. Apple Inc. (AAPL) launched Read More... The post Apple Meeting Demand Despite iPhone 13 Supply Challenges appeared first on TipRanks Financial Blog.

Apple Meeting Demand Despite iPhone 13 Supply Challenges

The largest company in the world recently presented its new lineup of several products, and since then has been experiencing bullish numbers in regard to supply and demand. Apple Inc. (AAPL) launched its iPhone 13, the keystone of its product supercycle, which has been hailed as the strongest “in roughly a decade.” (See Apple stock charts on TipRanks)

This claim was included in Daniel Ives' report from Wedbush Securities, who noted that sales and distribution of the smartphones are already indicating promising metrics.  

Ives rated the stock a Buy, and provided a bullish price target of $185. Before market open on Thursday, this price target reflected a possible 12-month upside of 26.84%.  

A large market for iPhones, China has been buying them up more than any other nation. Sales increased about 20% more year-over-year, due in part to long-time established users converting to upgraded models. Ives estimates that about one quarter of all iPhone users have not upgraded in three and a half years.  

Many upgrades are occuring through carrier trade-in plans, and a healthy portion of these involve the more high-end iPhone models.  

The five-star analyst mentioned that while supply chain challenges remain an overhang, iPhones are thus far being delivered at an even higher rate, when compared to last year’s iPhone 12 launch. According to Ives, the high levels of production signal “an increased confidence with Cook & Co. [Apple’s senior management] that this 5G driven product cycle will extend into 2022.”  

On TipRanks, AAPL has an analyst rating consensus of Strong Buy, based on 19 Buy and 6 Hold ratings. The average Apple price target is $169.64, suggesting a potential 12-month upside of 16.31%. These statistics are accurate prior to market open on Thursday, September 23.  

Disclosure: At the time of publication, Brock Ladenheim did not have a position in any of the securities mentioned in this article.

Disclaimer: The information contained in this article represents the views and opinion of the writer only, and not the views or opinion of Tipranks or its affiliates, and should be considered for informational purposes only. Tipranks makes no warranties about the completeness, accuracy or reliability of such information. Nothing in this article should be taken as a recommendation or solicitation to purchase or sell securities. Nothing in the article constitutes legal, professional, investment and/or financial advice and/or takes into account the specific needs and/or requirements of an individual, nor does any information in the article constitute a comprehensive or complete statement of the matters or subject discussed therein. Tipranks and its affiliates disclaim all liability or responsibility with respect to the content of the article, and any action taken upon the information in the article is at your own and sole risk. The link to this article does not constitute an endorsement or recommendation by Tipranks or its affiliates. Past performance is not indicative of future results, prices or performance. 

The post Apple Meeting Demand Despite iPhone 13 Supply Challenges appeared first on TipRanks Financial Blog.

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Gauging Luckin Coffee’s Risk Factors

Luckin Coffee (LKNCY) provides a technology-driven retail network to serve coffee and other products to consumers. The company reported 33.3% top-line growth for Fiscal Year 2020. Let's have a look Read More... The post Gauging Luckin Coffee’s Risk Factors appeared first on TipRanks Financial Blog.

Gauging Luckin Coffee’s Risk Factors

Luckin Coffee () provides a technology-driven retail network to serve coffee and other products to consumers. The company reported 33.3% top-line growth for Fiscal Year 2020.

Let's have a look at Luckin’s recent fiscal 2020 financials as well as what has changed in its key risk factors that investors should know.

In fiscal 2020, driven chiefly by higher average product selling prices, Luckin’s net revenue jumped 33.3% year-over-year to $618.1 million. The cumulative number of transacting customers of the company stood at 64.9 million as of December 31, 2020, as compared to 40.6 million as of December 31, 2019.

Operating expenses of the company were $1 billion, declining as a percentage of net revenue to 164.1%, versus 206.2% a year ago. (See Luckin Coffee stock charts on TipRanks)

Shares are up 458.8% over the past 12 months.

Risk Factors

According to the new Tipranks Risk Factors tool, Luckin’s main risk category is Finance & Corporate, accounting for 33% of the total 101 risks identified. Since December, the company has added three key risk factors.

Under the Finance & Corporate risk category, Luckin noted that trading in its ADRs may be prohibited under the Holding Foreign Companies Accountable Act, if the Public Company Accounting Oversight Board (PCAOB) is unable to inspect Luckin’s auditor.

The next two risk factors are under the Legal & Regulatory risk category. The company noted that approval from the CSRC or other PRC government authorities may be needed under PRC law, in connection with Luckin’s offshore securities offering. If such approval is required, then Luckin cannot predict if or for how long it will be able to obtain such approval.

Third, Luckin highlighted that its current corporate structure, business, and financial condition may suffer if its VIE structure gets deemed as a method of foreign investment under any present or future PRC laws and regulations, and if any operations of any of its subsidiaries will get restricted or prohibited from foreign investment.

Compared to a sector average Legal & Regulatory risk factor of 17%, Luckin Coffee’s is at 29%.

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The post Gauging Luckin Coffee’s Risk Factors appeared first on TipRanks Financial Blog.

Source : Tip Ranks More   

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