In 2021, Wedbush created the ‘Christmas Wish List’ for Apple investors
Investment bank Wedbush outlines Apple’s “wish list” for investors for 2021 and includes “Apple Glass”, strategic car partnerships, and more.
In a note to investors who have seen Apple Insider, analyst Daniel Eves explains the top 10 things that lead to a strong year for Apple and Apple investors. Some of the items on the list are factual and helpful rumors, while others are still possible despite the low probability.
The iPhone 12 lineup and Apple’s Services Business Rank are number one and number two at Apple’s base. By 2021, Apple will have shipped 240 million iPhone units and $ 65 billion in revenue from the service segment. He believes the iPhone 12 is on track to become the “ultimate supercycle”, worth trillions of dollars depending on some part of the service.
The reality headset developed by Apple Glass at WWDC 2021 is another key element that Apple will unveil, which will be “the result of many years of development in Cupertino’s laboratories,” Eves said. Current rumors suggest that the AR device will arrive in 2021 or 2022.
Analysts say Apple’s purchase of a large movie or TV studio to boost Apple TV + will be a boon to the company’s aggressive streaming strategy. Wedbush believes Sony Pictures, Lionsgate and A24 will be the front-runners if Apple decides to go that route.
In a note to electric vehicles, Yves said the strategic partnership in 2021 is a favorable situation. He refers to Tesla or VW as the “golden partnership”. The latest report indicates that Apple is preparing to build a passenger vehicle with new battery technology by 2024.
The 2021 iPhone lineup with Lidor includes more laundry items on the list, including doubling storage capacity and continuing the Mac transition to Apple Silicon.
Eves also includes Epic Games, Biden Administration, and Apple’s long-running legal battle to resolve tensions between the US and China as wish list-objects. In addition, Yves said the penalties are not major regulatory changes in the current anti-trust scrutiny in the US and Europe.
The analyst maintained its 12-month price target at 160. It’s based on Wedbash’s total estimates for the 2022 AAPL fiscal year, which is 15 times $ 1.1 trillion in services and 6.5 times 7 1.7 trillion in Apple’s hardware business.