Webusch analyst Dan Ive shared his opinion on what was just closed apple inc AAPL event where the iphone 14, the Apple Watch series 8 and AirPods Pro 2 debuted.

The Apple Analyst: Ives continued to maintain its Outperform rating Tim cook-held company with a 12-month target price of $220.

The Apple thesis: Ives referred to the Release of iPhone 14 and Pro Max as the main event, saying it “continues to be the pivotal success story of this impressive iPhone upgrade cycle, taking the baton from the iPhone 13.”

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The analyst said that iPhone 14 has “notable upgrades and changes” and that comes with “NOT a price increase which came as a surprise to the street”.

Based on its latest reviews, Wedbush believes initial orders for 90 million iPhone 14 units from Asian suppliers have remained stable.

“This speaks to the underlying demand story that Apple expects next iPhone Release with our estimates that 240 million out of 1 billion iPhone users worldwide have not updated their phones in over 3.5 years,” Ives wrote.

He said Apple expects a sharp shift in iPhone Pro and Pro Max, which would have a positive impact on the average selling price through fiscal 2023.

Despite weaker macroeconomic fundamentals, Ives said the baseline for nearly 220 million iPhone units in fiscal 2023 is a low bar “given the pent-up demand we see for Apple around the world.”

In China, Wedbush estimates that 30% of iPhone customers are in the upgrade cycle window.

The analyst expects “significant advertising activity” from mobile operators around the iPhone 14 from September.

Price promotion: On Wednesday, Apple shares closed up 0.9% at $155.96 in the regular session.

Continue reading: Apple introduces next-gen AirPods Pro

Photo Courtesy: Apple