Apple Inc. (NASDAQ:AAPL)’s recent pull back in the market after reaching highs continues to be a point of concern to investors especially on the fact that the giant hardware and software company never releases monthly sales of its products. During an interview on CNBC, BTIG’s analyst, Walter Piecyk, reiterated that the current pullback of 5% on the stock should mark a perfect entry point for anyone willing to acquire stakes in the company.
“The stock is off I think about 5% since Black Friday so there is maybe some concern about what the follow up is on sales. We’ve just had some news tonight Verizon came out and updated investor the upgrade rate. The number of customers that are actually upgrading their phone is up to 9.5% that is much higher than last year, which was 7.5%,” said Mr. Piecyk.
A much higher upgrade cycle for iPhone 6 is clear indication of the kind of sales that Apple is poised to post this quarter which should give the stock the juice to maintain the bullish trend. The upsurge in demand for iPhone 6 especially in China also increases the chances of the company posting impressive sales this quarter.
The release of the iWatch next year is another catalyst that Piecyk believes should accord Apple Inc. (NASDAQ:AAPL)’s stock the much-needed energy to surge having stagnated in the recent weeks. The pricing of the watch will be key in this case if the Cupertino based company is to record impressive sales closer to that of iPhone 6 considering the product is only making its debut. It is still unclear of what the pricing of the iWatch will be with some quarters pointing a possibility of Apple Inc. (NASDAQ:AAPL) going for a $350 price tag.
“There is a wide range; some people are talking about thousands of dollars for some of the models that could obviously have significant margins in revenue. […] So when you look at the course of the year there is probably some other opportunities as we move through the months of new products that the company can announce,” said Mr. Piecyk.
Piecyk argues that Apple Inc. (NASDAQ:AAPL) may be working on other secret products that have not bubbled out to the press that should give the stock an edge in 2015.
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