Home / News / Positive iPhone 8 Buzz Boosts Apple’s Target Price to $150
The excitement surrounding the forthcoming iPhone 8 has boosted Apple’s anticipated earnings and its 12-month stock price target. A client note circulated by Goldman Sachs analyst Simona Jankowski and acquired by Street Insider raised the price target on Apple stock (AAPL) to $150 from $133 and maintained its Buy rating.
Jankowski expressed confidence that the release of the 10th anniversary iPhone later this year would spark a strong upgrade cycle due to anticipated enhancements such as 3D sensing and augmented reality capabilities that will set the newest Apple flagship apart from the rest of the pack. Apple is rumored to have an AR headset in development and plans to switch from LCD to OLED display sets for its next iPhone line.
“This is a significant step-up in innovation vs. the prior two product cycle, especially when viewed in conjunction with the potential significant form factor change enabled by the move to an OLED display (e.g. removal of the bezels and the home button),” Jankowski writes in the note.
Apple shares surged to an all-time high on Monday to $133.55, beating its May 2015 closing record of $132.54, after the Goldman Sachs note was circulated. Not only has Apple set a new record for itself, the tech giant has also entirely recovered from the last year’s share price drop to $89.47. iPhone 8-related buzz notwithstanding, Apple’s stock surge has also been fueled by better-than-expected iPhone sales during the holiday quarter, according to Fortune, as well as news that Warren Buffett made a $1 billion investment in the company last May.