But of 1,500 respondents, only 15% intend to buy a smartphone in the next two months.
From Barron’s Buy Apple Stock Because Its Services Business Can Grow, Says Analyst ($)
What’s new: The firm’s analyst William Power reaffirmed his Outperform rating for Apple stock, citing positive data from a recent survey of 1,500 U.S. consumers.
“Our semiannual U.S. Apple survey confirms slowing smartphone purchase intent, but on a bright note, suggests continued strong iPhone share,” he wrote on Tuesday. “That, coupled with success with newer products like Apple Watch, and services like Apple Music, underscores the ecosystem opportunity.”
The analyst noted 67% of consumers said they plan to purchase an iPhone versus around 60% in the past two surveys…
He predicts Apple’s services segment will generate 21% of the company’s sales and 37% of its profits in 2020, versus 19% and 33% this year, respectively.
Maintains Outperform rating and $185 price target.
Softpedia News’ spin: Android Is Meh, a Growing Number of Americans Say
My take: Beware “purchase intent” surveys, which don’t fully factor-in sticker shock. When folks go shopping, there’s many a slip ‘twixt cup and lip.