- Apple Inc AAPL counted on well-heeled shoppers to make the iPhone 14 a success as it hits the stores today amid roaring inflation and shaky technology spending, Bloomberg reports.
- The iPhone 14 lineup reserves the best features for the high-end Pro models costing at least $1,000. The strategy clicked with consumers as per preorder data.
- The appetite for top-tier phones kept demand ticking for Apple as the industry scaled back plans.
- Also Read: iPhone 14 Pro Models Preorders Reflect Loyal and Sticky Customers Amid Economic Slowdown, Apple Analyst Says
- Evercore ISI analyst Amit Daryanani acknowledged robust demand for the iPhone 14 Pro and Pro Max.
- “Apple continues to gain significant share in China, and we expect the share gains to continue,” he said.
- Morgan Stanley analyst Erik Woodring also vouched for Apple’s strategy of high-end model differentiation paying off with its lead times surpassing expectations.
- Apple surprised analysts by not raising its prices while it continued to upsell consumers more than ever before.
- The preorder data suggests the iPhone 14 Pro Max is more in demand than the same model was last year, part of the shift upscale, as per KGI Securities.
- Analysts expect the iPhone’s early release will likely drive Apple’s revenues for the December quarter, which is the company’s blockbuster quarter as it includes the holiday spending.
- Additionally, Apple designed its AirPods Pro and a first-ever Apple Watch Ultra model like the Pro iPhones to be both bigger and better and cost a bit more.
- Price Action: AAPL shares traded lower by 0.96% at $150.90 in the premarket on the last check Friday.
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.