Citi: Apple Looks 'Bigger, Faster, Stronger'

• Apple Inc AAPL shares are down 13.55 percent in the last three months, despite having risen above the $130 level on July 20.
• Citi’s Jim Suva maintained a Buy rating for the company, with a price target of $145.
• Tough comps may cause some investors to exit the stock, resulting in an attractive entry point for long-term investors, Suva said.

Analyst Jim Suva mentioned that tough comps and limited potential upside in Apple’s sales and EPS in the near term may result in some investors exiting the stock. This would provide an attractive entry point for long-term investors.

“We expect Apple to outperform its competition on its contribution to industry profits,” Suva said.

Apple intends to launch several new products in the near future, the most prominent being the iPad Pro, a device it considers to be more powerful than any existing iOS device. The company also intends to sell separately the new Apple Pencil for $99 which has sensors built into its tip for picking up pressure, tilt and stroke.

Apple also intends to come out with new iPhones, with 64-bit A9 processor with M9 motion co-processor. These units will also be stronger due to their Ion-X glass with new aluminum oil cases and several other features.

The company also announced a device financing program of its own. Suva commented that equipment financing could result in a slight dilution of the company’s revenues and margins in the near term besides consuming working capital. The move is, however, expected to boost adoption via annual upgrades and loyalty.

Apple also intends to offer its Apple TV with several new features.