What you need to know
- Another analyst firm is upgrading its Apple target share price.
- Jefferies has set its target at $405, up from $370.
- That's because of optimism over Apple's jump into the 5G cycle this year.
Analyst firm Jefferies has upgraded its AAPL target share price to $405, up from a previous price of $370.
According to Seeking Alpha:
Heading towards the fall's 5G iPhone launch, Jefferies raises its Apple (NASDAQ:AAPL) price target from $370 to $405 and maintains a Buy rating.
According to the report, Jefferies says it feels "incrementally confident in Apple's opportunity with the 5G cycle." Analyst Kyle McNealy says that specifically, Jefferies feels "better" about "Apple's ability to hold retail pricing for the fall 5G launch relatively consistent with last year while maintaining solid gross margin performance."
As the report notes, other firms have also upgraded their Apple target price, citing Citi, who raised its price a whopping $90 to $400 this week, and Wedbush who set its price at $425. Both firms were acting on optimism over the iPhone 12 and 5G.
Last week, analysts including Wells Fargo doubled down on bullish predictions regarding Apple's performance. According to figures monitored by Bloomberg:
29 tracked firms rate Apple's stock as a 'buy' option, compared to just 12 holds and four which advocate selling. The average target price is $323, up from $305 at the end of April.
After recovering from a COVID-19 slide earlier this year, Apple's share price broke its all-time record, propelling the company to the first-ever valuation of $1.5 trillion in market capitalization. BofA analyst Wamsi Mohan suggested that Apple's product revenue could grow 20% next year thanks to strong iPhone and wearables performance.
