Since mobile phone replacement cycles are longer, Apple's most important revenue sources are reducing iPhone sales.
But Wall Street's top Apple analyst Toni Sacconaghi said Wednesday that Apple (AAPL-US) could launch an advantage for consumer products, such as products like iPhone, to improve Apple's stock rating.
Toni Sacconaghi, a Bernstein high-tech research analyst, said in the financial show: "Apple can turn the business business into a subscription service business, and in some ways change the business model of consumers from the purchase subscription. We believe it will create a new world We believe it is very profitable. "
According to Sacconia, the iPhone replacement cycle is Apple's "main issues". Because the mobile phone market is saturated, iPhone sales are declining and the consumer will wait for change. IPhone sales have been announced annually by 15%.
Although Apple does not persuade the traders to worry about iPhone sales, but paying attention to the services it provides, iPhon tells more than 60% of Apple's revenue, only 13% more service growth.
Tim Long, a BMO capital market analyst, said Apple's company said: "This is not enough. The public is not just about iPhone performance, but I think it's still."
Sacconaghi believes that investing in iPhone with a service model is investing in stock companies. "Although Apple announced the Profit Report, 4% of our iPhone is sold in a subscription plan and rises to 6% next. Next, it rises to 8%, Wall Street is expanding and we will praise it."
Bernstein's Apple target price is $ 160 and the rating "matches the market performance," closing almost 7% and closing at $ 165.25 on Wednesday.
Apple's share price has risen from profit sales and many Wall Street viewers have responded to Apple's profits "beyond its original fear", but Sacconagh has still given its Apple Apple stock.
"I do not think I should do anything for the moment, this valuation is not very attractive in the near future. It's not an issue to sell at a cheap level."
Nasdaq's technology weight increased by 2.2% on Wednesday.