Morgan Stanley boosts Apple price target, seeing no iPhone delay
May 17, 2017 11:40 AM ETApple Inc. (AAPL)AAPLBy: Jason Aycock, SA News Editor30 Comments
- Apple (AAPL -2.4%) has gotten a price target boost from Morgan Stanley, which is bucking rumors by saying it doesn't see any evidence of supply chain delays for the upcoming iPhone.
- The firm raised its target to $177, implying 13.8% upside from yesterday's close.
- Reports of low yields for components have shaken some investors, but "Morgan Stanley's Greater China Technology Research colleagues have not yet seen delays in the supply chain and still expect new iPhone production to start on time for most of the components (including OLED)," the firm says.
- It's staying conservative on initial expectations, though, forecasting unit growth of just 3% in the second half vs. 20-30% growth implied in build forecasts.
- Meanwhile, the company has begun making iPhones in India for the first time, with limited production of its iPhone SE in Bengaluru. It expects to start shipping that production to customers in the market this month; the iPhone SE is already available in India.