Amit Daryanani


'Amit Daryanani' Articles

This Year's iPhone X and iPhone X Plus Could Start at $899 and $999 Respectively Says RBC Analyst

Apple's second-generation iPhone X and so-called iPhone X Plus could be priced from $899 and $999 respectively in the United States, according to RBC Capital Markets analyst Amit Daryanani. iPhone X and iPhone X Plus dummy models via Ben Geskin Daryanani said the current iPhone X has experienced "limited success" at $999 and up, leading him to believe that lowering the base price by $100 could reinvigorate sales of the 5.8-inch model. A widely rumored 6.5-inch model, dubbed iPhone X Plus, would then fill the $999 price point. While this is merely a prediction from one analyst, the strategy could make sense if iPhone X sales have slowed significantly, as a series of supply chain reports have suggested. We won't know for sure until Apple's next earnings report, likely to be released around late April or early May. At this point, all we know is that the iPhone X was likely a key contributor to Apple's record-breaking revenue of $88.3 billion last quarter, easily topping its previous all-time high of $78.4 billion set in the year-ago quarter. Whether that momentum carried forward to the current quarter remains to be seen. Based on Daryanani's research note, obtained by MacRumors, here's our take on how the next iPhone lineup could look in terms of pricing:6.5-inch second-generation iPhone X Plus: $999 5.8-inch second-generation iPhone X: $899 6.1-inch mid-range iPhone X with LCD: $799 iPhone 8 and iPhone 8 Plus: $549 and $669 iPhone 7 and iPhone 7 Plus: $449 and $569 iPhone SE: $349Here's a rough idea of how the next iPhone lineup could look if Apple

Over Half of Prospective iPhone X Buyers Surveyed Plan to Choose 256GB Storage

iPhone X with 256GB storage is the most popular device among prospective smartphone buyers, according to a survey conducted by RBC Capital Markets. Of the 832 individuals surveyed, 28 percent said they plan to purchase iPhone X as their next smartphone. An additional 20 percent of respondents said they intend to buy iPhone 8 Plus, while 17 percent will go for iPhone 8. The remaining 35 percent of consumers plan to purchase an older model, ranging from iPhone 6s to iPhone 7 Plus. RBC Capital Markets said 43 percent of prospective buyers interested solely in a new iPhone are looking to purchase an iPhone X, while 32 percent favor iPhone 8 Plus, but no accompanying chart was provided for this data. A majority 57 percent of respondents who plan on purchasing iPhone X will opt for the 256GB model, which costs $1,149 in the United States. 43 percent said they will buy the 64GB model for $999. By comparison, 50 percent of iPhone 7 respondents last year opted for 128GB, which was the middle tier between 32GB and 256GB. RBC Capital Markets analyst Amit Daryanani:Interestingly, Apple has removed the middle-tier storage option from iPhones. We think that given increasingly greater storage requirements, most of mid-tier storage users will move towards the higher tier.46 percent of a larger pool of 4,196 respondents said wireless charging is iPhone X's most attractive feature. Overall, RBC Capital Markets expects strong demand for iPhone X, which should increase Apple's average selling price for iPhones in general. The investment bank remains upbeat about

Bullish Analyst Says Apple Has Potential to Become Trillion Dollar Company Within 18 Months

Apple has the potential to become a trillion dollar company by 2019, according to RBC Capital Markets analyst Amit Daryanani. In a research note on Monday, Daryanani said Apple could reach or exceed a trillion dollar market cap within the next 12 to 18 months. An excerpt from Daryanani's research note, edited slightly for clarity:In aggregate, we see a scenario where in the 2019 fiscal year, Apple sustains $12+ earnings per share and, assuming the valuation frameworks remains stable/improves, it should get AAPL stock toward $192–$195, which would equate to a market cap above $1 trillion.Daryanani believes the so-called "iPhone 8" and the upgrade supercycle it's expected to drive will be a major catalyst towards Apple's path to a trillion dollar valuation. Looking further ahead, he thinks there is potential for Apple to continue growing its Services category revenue by double digits year over year.Longer-term, we think there is potential for Apple to continue growing Services revenue by double digit year-over-year given the company's expanding installed base [of devices], increasing App Store sales within the current installed base, demand for cloud storage/compute services, and further adoption of Apple Pay.Apple's Services category brought in $7.17 billion last quarter, from $6 billion in the year-ago quarter, representing 18 percent year-over-year growth. Apple CEO Tim Cook said the Services category is already the size of a Fortune 100 company, with hopes to double the category's revenue by 2020. Earlier this month, Apple's market cap surpassed the $800 billion

RBC Raises Price Target on Apple Shortly After Dreaming About Benefits of a Merger With Disney

RBC Capital Markets raised its AAPL price target to $157 today, up from $155, as it believes iPhone sales were stable to modestly better than expected in Apple's second quarter, which ended on March 31. The investment bank's lead Apple analyst Amit Daryanani said the company's iPhone mix continues to remain positive, with "more" Plus-sized models sold in the quarter than it previously forecasted. iPhone 7 Plus models carry a $120 premium over iPhone 7 models, contributing to a higher average selling price. RBC now estimates Apple will report quarterly revenue of $53.5 billion, matching the high end of the company's guidance. Apple is scheduled to report its second quarter earnings results on May 2 at 1:30 p.m. Pacific Time. MacRumors.com will provide live coverage of Apple's conference call at 2:00 p.m. Pacific Time. The bank said it remains positive about AAPL based on so-called "iPhone 8" refresh cycle tailwinds, benefits from a possible capital allocation increase, the acceleration of its growing Services category, and potential upside from U.S. Donald Trump's political agenda in relation to taxes and cash repatriation. Apple's stock price has been rising steadily since November, as rumors suggest the company will launch its first iPhone with an OLED display and slim bezels, potentially mirroring the design of Samsung's new Galaxy S8. Many analysts have maintained a "buy" or equivalent rating on AAPL since March or earlier. Last week, RBC Capital Markets generated headlines when it outlined the potential benefits of a completely speculative Disney

iPhone 6 Interest Remains Strong as Consumers Look to Larger Displays

Demand for the next generation iPhone remains strong in the months before its expected fall debut, claims a report from RBC Capital Markets analysts. According to a 4,000 person survey conducted by RBC, half of consumers who plan to upgrade their phone in the next three months intend to buy an iPhone and a quarter of those would be willing to pay $100 more for their iPhone to have a 5.5-inch screen over the other rumored size of 4.7 inches. Customers know about and are interested in the next iPhone, with 74 percent of survey respondents stating they are aware of Apple's possible fall iPhone launch and fifty percent claiming they are interested in buying an iPhone for their next phone. Primarily, customers are looking for performance improvements and a large screen in their next iPhone handset. While ~49% of smartphone purchasers are inclined to buy the next Apple product, we learned that the main driving factor for sales surround performance improvements (battery life 33%, processor 18%, camera 12%). In our view, these results are positive for AAPL, as we would not be surprised to see improvements to both battery life and processing speed with the iPhone 6. Finally, beyond performance improvements, we also learned that screen size could materially impact sales, as 23% of participants surveyed are inclined to purchase a larger screen iPhone. These customers not only want a larger phone, they also are willing to pay for it, with more than one quarter of respondents willing to pay a $100 premium to buy a 5.5-inch iPhone for $299 instead of the current $199 for the

Apple's Lower-Cost iPhone to Lack Retina Display?

RBC Capital Markets analyst Amit Daryanani has released a new research report today citing supply chain checks as the basis for predicting a June or July launch for both the iPhone 5S and a lower-cost iPhone, in line with other recent reports. Daryanani says, however, that the lower-cost iPhone appears set to omit a Retina display.Our supply-chain checks indicate that AAPL is working to launch multiple new phones in the June/July time-frame this year. Specifically, AAPL will launch the iPhone5s and a more affordable but lower-end iPhone at the same time, in either late CYQ2 or early Q3. The low-end iPhone will have the same 4" form factor as the iPhone5 but will have plastic casing and no retina display. With a lower price-point, AAPL will be able to target a growing and important part of the Smartphone market (sub-$400 price-band).Daryanani's claim of no Retina display for the lower-cost iPhone conflicts with reports from reliable KGI Securities analyst Ming-Chi Kuo, who has claimed several times that the cheaper iPhone's 4-inch display will carry the same 326 pixels per inch seen on all Retina iPhone displays released to date. Daryanani's claims also raises suspicion because Retina displays are a long-established feature of Apple's iPhone lineup, with all the iPhone models currently offered by Apple supporting the feature. This includes the iPhone 4, which is offered for free with a two-year contract in the United States, although this new low-cost iPhone is said to be seeking to bring prices even lower to attract customers in markets where carrier subsidies are