Nomura: iPhone price cuts haven't moved the needle

Also, App Store growth is slowing, says analyst Jeffrey Kvaal, reiterating his Neutral rating.

StreetInsider has the note:

Nomura/Instinet analyst Jeffrey Kvaal reiterated a Neutral rating and $170.00 price target on Apple after conducting end of quarter checks and hearing that iPhone price concessions have not made a materially positive impact on sales.

The analyst stated “iPhone price concessions have not yet bolstered unit sales. We also find App Store growth to be slowing, which should prove a more powerful driver than last week’s new services. We reduce our estimates, hold our $170 target, and retain our view Apple’s 14.5x multiple is full”.

The analyst stated “iPhone price concessions have not yet bolstered unit sales. We also find App Store growth to be slowing, which should prove a more powerful driver than last week’s new services. We reduce our estimates, hold our $170 target, and retain our view Apple’s 14.5x multiple is full”.

Maintains Neutral rating and $170 price target.

My take:  Kvaal is predicting that Apple’s shares a year from now will be worth $26.50 less than their Wednesday high. Has “Neutral” become—like “Hold”—a gentleman’s “Sell”?