Apple's shares rally again as analysts weigh in on the new iPhone 7 and iPhone 7 Plus



Apple's shares hit a nine month high on Monday, closing at $111.77. The gain of 3.54% takes Apple well off the low of $91.50 it hit on June 27th. The stock dropped under $100 back in April after reporting its fiscal Q2 earnings. In that three-month period, Apple sold fewer iPhone units in a quarter on a year-over-year basis for the first time in history. That happened again during the July quarter, but that time the shares gapped open at $102 and have been rising ever since.

With Apple about to launch the iPhone 7 and iPhone 7 Plus on Friday, Wall Street analysts have been bullish on the pair. Ben Schachter, senior analyst at Macquarie Group, told the audience watching CNBC's Power Lunch that Apple might be able to squeeze out a little growth this year with its handsets, and achieve strong results next year with the 10th anniversary iPhone model.

BTIG analyst Walter Piecyk says that strong iPhone pre-orders reported by AT&T, Sprint and T-Mobile are the first indication that Apple will surprise the Street by pulling off strong growth in the December quarter. Part of the reason for the unexpected growth is the larger pool of potential iPhone buyers. According to Bernstein analyst Toni Sacconaghi, the number of iPhone users is about 50% higher than it was a couple of years ago. That means that there is a large number of iPhone owners who would be interested in upgrading to the new models.


Sacconaghi said that figuring out how many current iPhone owners will upgrade is the key to forecasting how well Apple will do with the new handsets. Five years ago, only a quarter of iPhone sales came from upgrades. Now, 80% of iPhone sales come from upgrades. And making things harder is Apple's decision not to release pre-order figures. The tech titan says that pre-order figures are not indicative of anything since the iPhone 7 and iPhone 7 Plus will have its initial sales determined by supply, not demand,

source: CNBC

Related phones

iPhone 7
  • Display 4.7" 750 x 1334 pixels
  • Camera 12 MP / 7 MP front
  • Processor Apple A10 Fusion, Quad-core, 2340 MHz
  • Storage 256 GB
  • Battery 1960 mAh(14h 3G talk time)
iPhone 7 Plus
  • Display 5.5" 1080 x 1920 pixels
  • Camera 12 MP / 7 MP front
  • Processor Apple A10 Fusion, Quad-core, 2340 MHz
  • Storage 256 GB
  • Battery 2900 mAh(21h 3G talk time)

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21 Comments

1. Martineverest

Posts: 521; Member since: Oct 27, 2015

it will still fall as fewer people will buy ip7 this time.....chinese people no longer have enough kidheys to sell and the ones with kidneys wont even see buyers,due to economic downturn

11. GreenMan

Posts: 2687; Member since: Nov 09, 2015

I quote: "it will still fall as fewer people will buy ip7 this time..." Whenever I think I've heard the dumbest thing in the world, someone shows up and improvise... Here: http://www.phonearena.com/news/Apple-confirms-iPhone-7-Plus-and-jet-black-iPhone-7-stocks-sold-out_id85437 Black iPhone 7 are SOLD OUT... People are queuing up in Italy to get their hands on one... And yet some Bum Hurt Sammy Fanboy is saying... Well, never mind... But it'd be better if you focus on exploding Notes... Samsung is in dire need of "freebies" Lawyers on almost all blogs and forums... Lots of work to do, so little time... Make haste, mate! G'Day!

13. Finalflash

Posts: 4062; Member since: Jul 23, 2013

OMG, not Italy, where iOS controls 13% of the market on a good year.....all 5 of those people in line will be such a boon for Apple. Also, the Plus model selling out is actually bad news because last year, the regular and Plus models sold out, and that wasn't even as good as the year before it. Those are also the models with the most limited production, that isn't a good indication at all. Finally, the technicals on the stock indicate that it hasn't beaten the peak it set in April of this year and is now trading in a range largely because investors are praying it goes back up. If, and when, it starts to tank, they are all out of a job for getting greedy when they all bought in at 120+. Still, lets see where this goes, likely it won't be as good as last year, and last year wasn't too great.

17. j2001m

Posts: 3060; Member since: Apr 28, 2014

In the U.K. It's only the new jet black models that are sold out to oct, loads of stock of other models The jet black as limited stock, so this is not good, the 6 sold out in all models

20. ibend

Posts: 6747; Member since: Sep 30, 2014

just check NASDAQ AAPL, it's showing downhill since it's peak at Q2 2015, iPhone6s and SE can't stop the downhill, and I guess i7 won't give any significant boost

18. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

You're an idiot. How many people are on this planet. 7Billion. Right? How many live in the USA alone? 350M. How many phones can Apple make in a month? Roughly 5M counting all selling and models in production. Apple typically sells 30% of their entire production just in the USA based on market-share. Right? So if you take 5M devices and 30% come to the USA, that means there won't be enough phones, especially when you have to consider they have 5 color options. It's obvious it would sell out. But it would only take 1M sells or less to sellout. if you don't have enough supply to meet demand, which Apple NEVER does. Then a sellout is easy to attain. That doesn't mean they will sell more phones this year than last year. After all the iPhone 6S' were sold out at the beginning too. Yet YOY year for the 2nd/3rd quarter, they sold less of them. You are such a gullible troll.

21. xondk

Posts: 1904; Member since: Mar 25, 2014

You got to give Apple credit though. They keep doing the marketing so people keep believing that it is an exclusive item that can be hard to get because of "low" unit numbers. Props to their marketing department, they know how to do that. Apple's real product is marketing, not phones or computers.

19. xondk

Posts: 1904; Member since: Mar 25, 2014

Even Apple is unsure, as they aren't for the first time releasing numbers. Samsung is doing fine, and will do fine even with this, why? they aren't a phone company only they have many divisions, they may lose something on recall, but it still surprises me that people are focusing on "some note 7's blew up!" rather then "hey look Samsung is replacing our phones rather then chancing them blowing up" that's good customer service, because lets face it 35 out of 2.5 mil, is still a low number, and very low risk of it happening. And my money is still on user error, granted the phone should not allow said user error to cause this, so it SHOULD be fixed...but even so. It is getting blown way out of proportions. As for it being 'sold out' without any numbers it really doesn't say much, if there only were say 100000 phones for preorder, then sold out doesn't mean much, and since they aren't releasing numbers, we do not know, so 'sold out' means......what?

2. jesus_sheep

Posts: 279; Member since: Apr 18, 2015

Johnny I've has to do better at designing. Time cook has let everyone down. Let the fall begin.

5. submar

Posts: 713; Member since: Sep 19, 2014

Damn autocorrect.

3. Zylam

Posts: 1769; Member since: Oct 20, 2010

LOLOLOL people still comment with Apple is doomed? Remind us again what happened the last 20 times Apple is doomed was chanted? That's right, the Note 7 exploded. Billions of dollars of revenue every year, on top of the billions they are just sitting on, yup what will they do, though times. It's been a while since someone called a phone an "iPhone killer" LOL I think people have just given up, the iPhone is here to stay.

6. cnour

Posts: 2305; Member since: Sep 11, 2014

I agree with you. iPhone is a legend and will never die.

9. TylerGrunter

Posts: 1544; Member since: Feb 16, 2012

Say the same lie enough times and eventually it will become truth!!

14. Finalflash

Posts: 4062; Member since: Jul 23, 2013

Well, I think they misinterpreted the data. What they should have said is iFans are doomed. Because they are receiving the largest shaft in the history of consumer electronics and there is nothing they can do about it.

12. GreenMan

Posts: 2687; Member since: Nov 09, 2015

iPhone is here to stay, you say? Well mate... People used to say the very same thing about Blackberry and Nokia... Where are these companies now...? Shambles... WE RISE, ONLY TO FALL... G'Day!

4. Tariq123

Posts: 186; Member since: May 15, 2016

Choosing between no headphone jack and possibly explosive phone is equivalent to choosing between a president that could possibly die or the other one

16. TBomb

Posts: 1036; Member since: Dec 28, 2012

2016 seems to be turning out as just that. You have an idiot (phone) with good marketing but a couple idiotic blemishes or You have a nonsensical (phone) that is ready to blow up the world. Currently with the HTC10 but LG V20 has my vote (depending on battery life)

7. Ezio2710

Posts: 548; Member since: Aug 22, 2015

Some people buy whatever Apple throws to them

10. GreenMan

Posts: 2687; Member since: Nov 09, 2015

And some people hate whatever Apple throws at them...

8. Hoggington

Posts: 356; Member since: Feb 23, 2016

Thank goodness. I was worried about Apple for a min.

15. mudcat626

Posts: 213; Member since: Jul 13, 2016

The folks commenting here are about as dumb as the Wall Street analysts,

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