More data suggests that the next iPhone could cost a whole lot

Morgan Stanley analyst Katy Huberty disagrees with other Apple analysts mostly on one estimate: what the average selling price of an iPhone will be next year.

Huberty writes in a research note distributed on Thursday that she estimates the average iPhone will sell for $753 in 2018, which is significantly higher than the Street's consensus of $675.

Apple is believed to be launching a high-end iPhone this fall that is rumored to cost as much as $1,000. This year's iPhone could have a "more power efficient OLED display, wireless charging, 3D sensors, and a new curved form factor," according to Huberty.

Apple is also increasingly selling more iPhone 7 Plus models, which have a bigger screen than the iPhone 7 and cost over $100 more.

Both of these trends point Huberty's models to a more expensive average selling price for iPhones in the future.

Ultimately, Huberty sees a "clear path to supercycle," which is the investor belief that a built-up group of people hanging onto older phones are ready to upgrade as soon as Apple launches a new, desirable iPhone model.

The "supercycle [is] not reflected in consensus iPhone shipments," Huberty writes. "Our upgrade analysis, which covers regions that represented 96% of iPhone shipments in CY16, points to base case of 260M (top down) to 264M (bottom up) demand during the FY18 Supercycle and implies at least 7% upside to current consensus forecast of 242M."

Morgan Stanley raised its price target for Apple to $161 from $154.

Visit Markets Insider for constantly updated market quotes for individual stocks, ETFs, indices, commodities and currencies traded around the world. Go Now!

Contenu Sponsorisé

15 entrepreneurs français partagent les moments clés dans la vie de leur startup

Copyright © 2016 Business Insider Inc. Tous droits réservés. Conditions d'utilisations | Charte de protection des données | Publicité

Editions Internationales US UK DE FR AUS ID IN MY SG PL SE NL