Apple Doesn't Need Next Big Thing For A While, Analyst Says
Apple‘s (AAPL) current iPhone upgrade cycle looks like it will last longer than usual and should give the consumer electronics giant time to prepare for its “next big thing,” a Wall Street analyst said Thursday.
X Apple could be facing a strong multiyear iPhone upgrade cycle, rather than a short-lived supercycle, which many anticipated with the launch of the OLED-screen iPhone X, Piper Jaffray analyst Michael Olson said in a report.
This “superlong cycle” will include the iPhone X launched on Nov. 3, plus an expanded assortment of OLED-screened iPhones rumored for fall 2018, he said.
“We believe an elongated iPhone cycle in fiscal 2018, followed by a wider array of iPhone X ‘offspring’ in fall 2018, along with growing awareness and interest in augmented reality, will all push out the need for Apple to answer the question of ‘what’s next?’ ” Olson said.
The rollout of augmented-reality apps with compelling-use cases will help the iPhone X upgrade cycle, he said. Plus, Apple is looking to add a 3D sensor on the back of next year’s iPhones to help gauge distances and ultimately improve AR capabilities, Olson said.
Olson reiterated his overweight rating on Apple stock with a price target of 200.
Apple shares climbed 1.4% to close at 171.85 on the stock market today.
Apple Teams With Stanford Medicine On Heart Study
Apple on Thursday launched the Apple Heart Study app for a research project in partnership with the Stanford University School of Medicine. The study will use the heart-rate sensor on the Apple Watch to collect data on irregular heart rhythms and notify users who may be experiencing atrial fibrillation (AFib).
“AFib, the leading cause of stroke, is responsible for approximately 130,000 deaths and 750,000 hospitalizations in the U.S. every year,” Apple said in a news release. “Many people don’t experience symptoms, so AFib often goes undiagnosed.”
As part of the study, if an irregular heart rhythm is identified, the participant will receive a notification on their Apple Watch and iPhone and get a free consultation with a study doctor and an electrocardiogram patch for additional monitoring, Apple said.
Shares of medical services firm BioTelemetry (BEAT) jumped on Thursday after it announced it is participating in the Apple Heart Study. BioTelemetry said it will provide cardiac monitoring services in conjunction with the study.
BioTelemetry stock jumped 8% to finish at 29.
In related news, the U.S. Food and Drug Administration has given clearance for the first Apple Watch accessory to be used as a recognized medical device. It gave the authorization to the Kardiaband EKG reader from AliveCor. The device is used to detect abnormal heart rhythm and atrial fibrillation.