Apple's Future Based on the Past Investors Shouldn't be Scared of the Dip Apple's stock price has been steadily declining since the reveal of their new products back in September. On September 1, 2017, the stock was at a record high of $164.94, but closed on September 25, 2017 at $150.55. That's almost 9% of a drop in less than a month. Most investors understand that they should buy low and sell high. It's a basic standard that many people grasp, but with the steady falling of the company's stock, it can scare shy investors. Stock drops after a reveal is a cycle that most analysts have seen before after other product reveals. In fact, Apple analyst Brian White said he believes the concerns are misplaced because the strength of the cycle …show more content…
It's believed that the lower demand for the iPhone 8 is because consumers are in a holding pattern waiting for the iPhone X to be revealed. White has often stated that he believes that Apple stock price could see $208 in the near future. This price would send the company over the trillion dollar mark they've been seeking in terms of company value. Another analyst, Tavis McCourt of Raymond James, has mirrored White's comments by saying that the recent lower price is a trading opportunity for investors. He did a survey, which indicated that most consumers are waiting for the iPhone X and demand could be higher than the company anticipated. In the 2 years prior to this, after the initial reveal, Apple stock would rise 5% in the same time period. This has been Apple's history and there's no reason to believe that the stock won't rise after the reveal of the iPhone X, which will be available for pre-order at the end of …show more content…
According to some analysts, it will be the most expensive as well. Bank of America Merrill Lynch analyst, Wamsi Mohan, published a research note on September 25th that stated he believes it's too early to deem the iPhone 8 a success since the iPhone X hasn't been released yet. The staggered reveal and launch of the new products this year has left many analysts trying to understand the significance of the numbers. The trackers Mohan uses have shown a higher demand for the iPhone 7 and 7 Plus last year, but the launch wasn't split into two reveals, either. Citi analysts revealed their estimates, too. They believe that the smaller lines for the iPhone 8 means that overall sales will fall short of other launches. They predict that the stock price will rise to only $170 after the reveal of the iPhone X. In response, CEO Tim Cook has said that he “couldn't be happier” about the launch of the products on the September 12, and that the iPhone 8 and 8 Plus have sold out in some of the stores