5G iPhones and Work From Home Global Trends Are Expected To Drive Apple Shares Higher
Amidst the district court decision where Apple was ordered to not block the Epic Games Unreal Engine while denying the gaming companies’ motion to restore its app on iOS store, a senior analyst named Tom Forte from D.A. Davidson stated that the California based company’s stock is going to shoot up owing to their 5G iPhones and work from home trends.
Recently, Apple became the first U.S. public company to cross USD 2 Trillion in valuation. The company gained another USD 1 Trillion in market cap in just two years. According to CBNC, Apple’s share rose 1.2% on Monday. “The remarkable thing in my opinion is that Apple achieved the USD 2 Trillion market cap without selling a single 5G iPhone,” Forte said on CNBC’s Squawk Box Asia.
A news report from Nikkei Asian Review says that Apple is pushing its suppliers to fasten up the production of its first 5G iPhone amidst the coronavirus outbreak. It also reported that the company is slated to launch four 5G enabled iPhones and would be available in three different sizes. The American company is in the race with Huawei and Samsung to capture the 5G smartphone market. These aforementioned companies already have launched their 5G products in the market.
According to the reports, Apple is facing a delay of four weeks; however, it added that “Apple is doing everything to shorten its postponement.” Earlier this year, the company had set a target of launching 100 Million units of 5G iPhones for 2020; however, the pandemic hit has reduced its target by 20 million units.
Forte’s statement on global work on home trends
According to Logitech, around one billion people are working from home. Forte says that this pandemic has strengthened the sales of tablets, laptops, and expected to “see more strength in tablets and laptops.” Last month, Apple reported 11% growth despite the coronavirus crisis which had led to the temporary lockdown across the globe. In its earnings call, the company said the strong growth has been witnessed due to the work from home trends.
Additionally, it also announced the 4-for-1 stock split which means that for every investor who buys Apple shares, they get three additional shares. As of today, the trillion-dollar firm has a share price above USD 500. Besides this, there are speculations that Apple is going to launch the iPhone 12 this October and would discontinue the production of iPhone XR models.
Apple’s first floating store
The virus outbreak has slumped the economy with a lot of debt. Meanwhile, Apple is set to open its first-ever floating store. This in turn depicts the company’s penchant for luxurious exteriors and innovative designs. The store is located in Singapore and it’s named “Apple Marina Bay Sands.” It’s the company’s third retail store in Singapore.
“During the day, the store’s glass panels reflect the towering skyline of the Downtown Core and motion of the rippling water. At night, the sphere glows with a gentle warmth, evoking the design of traditional lanterns carried during Singapore’s Mid-Autumn Festival,” 9to5Mac published on its website.