14 DAY TRIAL // Apple is projected to unveil its new iPhone generation in September, but the company is reportedly holding back quite a lot of major upgrades for the 2020 model.
In other words, while the upcoming iPhone will come with some improvements of its own, it’s the 2020 iPhone the one that is worth waiting for. And Raymond James analyst Chris Caso reiterated the same idea in a recent note to investors.
Caso explains that Apple is very likely to recover in 2020 when the company unveils the 5G iPhone, setting a target price of $250 for Apple shares. At this point, Apple shares are trading for $205.25, so if Caso is right, the 5G iPhone can generate a massive growth that would push the company back to $1 trillion valuation.
5G iPhone coming next year
The analyst believes that the 2019 iPhone is very likely to be a disappointing model, so he advises clients to be very cautious if they want to invest in Apple.
“Our call may well be early – we expect this year’s iPhone cycle to be the weakest in years, and today may not be the right time to buy ahead of that weakness,” he was quoted as saying by CNBC.
“But since the near-term market moves are being driven by macro conditions as much as fundamentals, we’ve decided to upgrade now and let our clients decide the best time to execute on our idea,” he added.
Apple will launch three iPhone models this year, all of them successors to the existing devices. The 2020 generation, however, will mark the full transition from LCD to OLED, while also bringing us the very first 5G iPhone powered by a Qualcomm chip. Other upgrades are also planned for the 2020 generation, albeit for the time being, nothing has been confirmed as all eyes are on the September launch.