Wall Street Analyst Says 'Buy the Dip' After Apple's Stock Price Steadily Declines in September
Since hitting an all-time high of $164.94 on September 1, Apple's stock price has steadily declined throughout the month. Apple's closing price of $150.55 on Monday represents a nearly nine percent decline in just under four weeks.
Despite some negativity surrounding the stock, one Wall Street analyst believes the recent skid is a buying opportunity.
"We believe concerns around the strength of this cycle are misplaced and we would be aggressive buyers of the stock during this correction," said Brian White, a longtime Apple analyst at investment banking firm Drexel Hamilton.
White believes the staggered launch of the iPhone 8 and iPhone X is confusing industry observers, who are perhaps worried by reports of shorter lines at Apple retail stores and lower adoption rates of the iPhone 8 and iPhone 8 Plus.
"We believe more consumers in the developed parts of the world will pass on the iPhone 8/8 Plus and buy the iPhone X," added White, in a research note obtained by MacRumors. "Those that are on the fence will likely wait to see the iPhone X."
White is one of the most bullish Apple analysts, with a lofty $208 price target for the iPhone maker. If the price were to rise that high, Apple would be over a trillion dollar company based on market capitalization.
Raymond James analyst Tavis McCourt also said Apple's recent pullback is a "trading opportunity." His survey indicated there could be higher demand for the iPhone X than the firm initially anticipated.
Apple's slide has held back the Dow Jones, which is still up around 1.5 percent since the start of September. But it's not the only tech stock in the red, as Amazon, Facebook, and Netflix all declined Monday.
By comparison, Apple's stock price was up nearly 5 percent over this same period in each of the past two years.
Apple is up over 1 percent in early market trading today.
Top Rated Comments
releasing 7s (now called 8) and next year's iPhone 9 (now called X) at the same time..(with excuse of 10Th anniversary)..
iPhone 8 is the most un-interesting iPhone EVER,yet the price is increased, and iPhone X is what standard next cycle of iPhone should have been without such unjust and crazy price hike.
+ released them both together and yeah it backfired big time.
it's all Apple marketing departments flaw.(probably Schiller himslef).
If they wanted to do something special for iPhone 10Th anniversary,they should have skipped 7s (8) ,and just released the iPhone 8 (what they call X now).
when you have edge to edge OLED phones like S8 / S8 Plus available to people,you simply cannot come months later, make something similar and sell it for $1000 just because it's running iOS and has better face scanning option.
I'm going to upgrade both my wife's and my iPhones this year, but I don't feel the need to have it in my hands one week after it's announced. We'll pick up two iPhone 8s or 8 pluses... when we get around to it. I don't think we're alone.
For practicality's sake, I think a lot of people are just weighing their options this year and taking a little bit of time about it. After all, for better or worse, there have never been more iPhone options from Apple.
Please stop now before your embarrass yourself any more.