Apple will not see rapid sales growth: demand for iPhone X falls

According to Goldman Sachs, Apple is unlikely to rise in the market since iPhone sales will be a disappointment again.

The picture shows an iPhone X advertisement at a bus stop. iPhone X went on sale in China on November 8, 2017.

As early as February 1, the technology giant is alreadyreported weaker-than-expected iPhone sales for the December quarter. The company also gave lower than expected sales forecast for the March quarter.

Goldman announces Apple’s “neutral” stock rating, predicting that the company will report sales below expectations for the June quarter.

“We match our positive expectations forabout the long-term growth in revenue from iPhone sales ... with weakening short-term demand, which, in our opinion, will be largely determined by the weight of shares in anticipation of the FQ2 earnings report, ”analyst Rod Hall writes in his address to clients on Tuesday. “In particular, we see a lack of a consensus forecast for iPhone sales for the June period and we believe that stock prices are unlikely to increase, although a revaluation remains possible.”

Hall estimated Apple shares to be estimated at $ 161, 1% below Tuesday.

Analyst assumes user shareiPhones that wish to upgrade their smartphone will drop to 35 percent for the 2018 reporting period and then to 33 percent in 2019 (for the 2017 reporting period, this figure was 36%).

Hall writes the following: “After June, we see the possibility of increasing profits and the value of stocks, but rest assured that investors need confidence that the direction of growth has changed, and this can happen no earlier than the start of the 2019 accounting period.”

Apple has not yet received official comments.