Lower Price Apple (AAPL) iPhone, Watch Seen as Positive Surprises - Mizuho

Mizuho Securities analyst Abhey Lamba reiterated a Buy rating and $120 price target on Apple (NASDAQ: AAPL) after the company announced a new lower priced iPhone.

"We reiterate our Buy rating and $120 PT after product announcements," Lamba said. "While product features were largely inline with expectations, we think price cuts for the low end iPhone and Apple Watch were surprising and are likely to help Apple be more competitive in mid-tier. F2Q16 will not benefit from these products but it likely had a strong start as it will include sales from the holiday season (12/27-12/31). Given the timing of the launch, we expect Apple to end up near the low end of its revenue forecast of $50-53bn vs consensus of $52bn."

For an analyst ratings summary and ratings history on Apple click here. For more ratings news on Apple click here.

Shares of Apple closed at $105.92 yesterday.

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