Per Steven Milunovich, an analyst with UBS, Apple Inc’s (AAPL – Free Report) iPhone unit sales in 2018 could be lower than expected, given the “flat” buying intent in many countries, reports Investor’s Business Daily. However, revenues are likely to be cushioned by higher average selling price of premium iPhone models (iPhone X).
Subsequently, he slashed his iPhone unit sales growth estimate to 10% from 12% projected earlier. However, he has retained the “Buy” rating on the stock.
Investor’s Business Daily quoted the analyst saying, “Phone buying intent vs. a year ago for the next 12 months is flat in the U.S. and Japan and down in the U.K., China and Germany. If the survey is correct regarding more muted near-term unit growth, the Apple narrative could shift toward monetizing the large iPhone base.”