Market Overview

Apple's iPhone Prices May Be Higher Than Anticipated, According To This Survey

Apple's iPhone Prices May Be Higher Than Anticipated, According To This Survey

While Apple Inc (NASDAQ: AAPL) shareholders are on the edge of their seats in anticipation of iPhone 7 sales numbers, CLSA believes the market’s focus may be misguided.

Many Apple traders are watching iPhone unit numbers, but CLSA’s latest China survey reveals that iPhone 7 product mix could provide some surprise upside for the stock.

According to CLSA, China supply chain checks reveal that consensus average sales price (ASP) expectations of $655 could be extremely conservative. CLSA is calling for ASP of $691 in the December quarter, well above consensus.

“We believe consensus is overly fixated on the SE units at a lower ASP… but it seems to ignore rising mix of the Plus model,” the firm explains.

Related Link: 10 LGBT CEOs Who Weren't Afraid To Come Out

While Wall Street is calling for a $36 year-over-year decline in iPhone ASP, CLSA is predicting a decline of only $5 due to the shifting product mix.

CLSA believes ASP, not unit sales, could be the driver of a December quarter revenue and EPS beat for Apple. The firm is calling for EPS of $3.36 on revenue of $75.8 billion, ahead of consensus estimates of $3.18/$74.4 billion.

It certainly doesn’t hurt that rival SAMSUNG ELECTRONIC (OTC: SSNLF)’s Note 7 phone has been a complete disaster.

Apple is expected to report Q3 earnings on October 25.

Latest Ratings for AAPL

Sep 2020Raymond JamesMaintainsOutperform
Sep 2020CitigroupMaintainsBuy
Sep 2020JefferiesMaintainsBuy

View More Analyst Ratings for AAPL
View the Latest Analyst Ratings


Related Articles (AAPL)

View Comments and Join the Discussion!

Posted-In: CLSA iPhone iPhone 7Analyst Color Long Ideas Analyst Ratings Tech Trading Ideas Best of Benzinga

Latest Ratings

CTASRBC CapitalMaintains360.0
MDTTruist SecuritiesMaintains120.0
ATEMaxim GroupInitiates Coverage On1.0
MNPRMaxim GroupInitiates Coverage On11.0
RDS/BScotiaBankInitiates Coverage On34.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at