Market Overview

If The iPhone 8 Is Delayed, Will Anyone Care?

Share:
If The iPhone 8 Is Delayed, Will Anyone Care?
Related AAPL
Raymond James Lays Out 3 Reasons To To Stay On Apple's Sidelines... For Now
KeyBanc Turns Bullish On Criteo, Says Q4 Print Confirms Growth Opportunity
You May Not Want To Follow Buffett Out Of Phillips 66 (Seeking Alpha)

If reports that Apple Inc. (NASDAQ: AAPL) won't begin selling its new iPhone until December instead of September are true, will investors actually care? In short, the answer is no, at least according to Drexel Hamilton's global head of technology Brian White.

It may be safe to assume at this point that the iPhone 8 launch will be delayed, White said as a guest on CNBC's "Squawk on the Street" Thursday. After all, Apple is packing in a lot of new innovation and technology into the phone that the company has never used before, including 3D sensing.

As such, the phone's delay will have some sort of impact if impatient customers chose not to hold out a few more months, White added. But the impact will most likely not be meaningful enough for investors to actually care and are "are looking through this" potential delay.

In fact, investors are likely better off focusing on the stock's attractive valuation at a P/E multiple (excluding cash) of 11x, which is a discount to the broader S&P 500 index that trades at a 17x multiple. This discount may not continue forever, as there is an ongoing "re-evaluation" of what's an appropriate multiple.

Specifically, Apple continues to prove to investors it's not only "very durable" in sustaining market share and margins for its iPhone, but can capitalize on the growing middle class across the world.

Related Links:

Apple's Next iPhone Launch Cycle Might Resemble That Of iPhone 4

Cramer: Apple Execs Aren't Panicking And Cook Is The 'Coolest Guy In The Room'

Latest Ratings for AAPL

DateFirmActionFromTo
Feb 2018Raymond JamesReinstatesMarket Perform
Feb 2018Goldman SachsInitiates Coverage OnNeutral
Feb 2018Hilliard LyonsUpgradesLong-Term BuyBuy

View More Analyst Ratings for AAPL
View the Latest Analyst Ratings

Posted-In: Brian White Drexel Hamilton iPhoneAnalyst Color CNBC Analyst Ratings Tech Media Best of Benzinga

 

Related Articles (AAPL)

View Comments and Join the Discussion!