After reporting record Q4 results, Apple Inc. (NASDAQ:AAPL) has witnessed some bearish sentiments over the company’s long-term potential. In response, Steven Milunovich from UBS weighed in on the stock.
Steven Milunovich reiterated his Buy rating for the Apple with a price target of $150. According to the Fly, a smartphone survey by UBS shows a longer upgrade cycle for Apple and lower demand for iPhone 6s when compared to the demand a year ago.
However, in spite of the negative data points, there are also some positive findings. The company is the only smartphone brand expected to gain market share. Additionally, the company plans to shift to larger screens and more memory. Lastly, Apple has a strong Chinese market and steady unit growth forecasts. Overall, Milunovich feels the Apple franchise is undervalued.
Milunovich has rated Apple’s stock 73 times. His success rate on the stock is 60% and his average return on the stock is 8.3%. According to TipRanks statistics, of the 37 analysts who have rated Apple in the last 3 months, 29 have rated it as Buy and 8 have rated it as Hold. The average 12-month price target for the stock is $149.15, marking a 24% upside from where shares last closed.
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