Since 2020, Apple has been launching new products consistently, in spite of the COVID-19 pandemic. Moving on, the company is about to launch iPhone 13 series in 24 hours and the third generation iPhone SE model in 2022. JP Morgan’s analyst Samik Chatterjee predicts that both high-end and middle-end smartphone models will earn Apple a record-breaking fiscal year in 2022.
Apple launch the second-generation iPhone SE in April 2020 and for $399, the smartphone offered an A13 Bionic chip, a 4.7-inch Retina HD display, Touch ID home button, Apple Pay support, wireless charging, Wi-Fi 6, Gigabit-class LTE, and Dual-SIM support with eSIM and much more. At the time, iPhone SE (2nd-generation) saw significant upgrades and Android switchers and accounted for over 19% of all iPhone sales.
The flagship iPhone 12 series continued to see strong sales in 2021 even with iPhone 13 launch only a month away, and its success has achieved the company its second super cycle since iPhone 6. Now, the analyst estimates the next-generation flagship and SE iPhone combo will be profitable as well in 2022.
iPhone 13 shipment delays will not impact its sales
In his new note to investors, viewed by AppleInsider, Chatterjee wrote that:
“In our view, Apple has already guided to F4Q quite conservatively,” Chatterjee writes. “We think can still meet its conservative guidance based on existing momentum on iPhone 12 sales, as well as momentum in Mac and iPad sales, and a normal shipping timeline towards late September will imply upside to consensus estimates.”
Although iPhone 13 series will likely not offer major upgrades, he believes that investors will still be interested in the new smartphone lineup which will achieve a profitable 2022 for the company.
Even though the iPhone 12 and iPhone 12 Pro marked the peak of 5G smartphone volumes, Chatterjee still believes that investors should be excited for the iPhone 13. He says a combination of the iPhone 13 and a new iPhone SE model in 2022 could lead volumes to “equal or exceed the already record year expected” for iPhone volumes in 2021.
Acknowledging that the price of the new series is unknown, he added that the series is likely to face supply constraints. But maintained that later-than-usual shipping dates will not impact Apple’s earnings. Chatterjee estimates that AAPL’s price will hit $180 in the next 12 months.