1. Akshay Masand's Avatar

    The invest firm Cowen and Company recently raised its price target for Apple to $135 after conducting a new survey that showed that iPhone growth is being driven by new owners of the platform. Analyst Timothy Arcuri issued a research note that stated his team surveyed 3,000 people from around the world about the iPhone, Apple Watch and Apple Pay. The results indicated a number of positives for Apple which prompted the rise in price target.

    The poll found that roughly 25% of all iPhone 6 and iPhone 6 Plus purchases came from users who are new to the iPhone platform, which mainly consisted of Android switchers. Arcuri interpreted this as Samsung’s upcoming Galaxy S6 as a “do or die” product for the South Korean electronics manufacturer. His survey also bode well for Apple Pay, which Cowen and Company found that about 35% of all iPhone 6 and 6 Plus users in the US are using the tap-to-pay service. Among those, nearly two-thirds of the people indicated that they use Apple Pay several times per week. Among those who haven’t bought the latest iPhone models, the inclusion of Apple Pay was rated as an important factor by 65% based on the results of the poll. Arcuri wrote the following regarding the matter:

    To us, Apple Pay in the near/medium-term remains primarily a driver of future hardware sales and this survey supports that view.
    As far as the Apple Watch, the analyst said came away impressed from the survey as more than 50% of all respondents, regardless of what ecosystem or region they were on, indicated that they are strongly interested in the device. The most surprising was that Android users that were polled were more than interested in the Apple Watch than any other iOS device owners. As far as pricing of the Apple Watch, the survey revealed that 75% of respondents paid less than $500 for their conventional watch. He believes that the $500 price point will continue to remain a key threshold for Apple if it wants to make the Watch a success.

    The investment firm’s revised price target was one that many felt was overdue as the previous projection had been underwater for weeks despite an “overweight” rating for AAPL. Its new price target of $135 is up from a previous projection of $115 which was established previously in January.

    How do you feel about the survey? Share your thoughts below!

    Source: Cowen and Company via AppleInsider

    Twitter: @AkshayMasand
    2015-03-24 04:29 AM
  2. SpiderManAPV's Avatar
    Wow! 35% is a huge jump from 6% last week.

    Just your friendly neighborhood Spider-Man!
    2015-03-24 05:20 AM