Apple shares are recovering from an early March low of $ 116 per share, which is currently at $ 126. Yesterday, April 6, shares rose a modest 0.25% and closed the trading session at $ 126 per share.
On premarket AAPL started to rise by 0.15%.… Below, Apple Maven discusses some of the key factors that could drive Apple stock during the April 7 session.
Several events on Wednesday could affect not only Apple stock, but the market as a whole. For example, the S&P 500 and Nasdaq traded slightly lower before the opening of trading. Here are some potential engines:
- TheStreet: Stock futures rallied slightly after S&P 500 showed a 3-day winning streak; FRS publishes minutes of March meeting; Carnival reports income; Jeff Bezos of Amazon supports the corporate tax rate hike.
- The calendar of events will include reports on the trade balance and consumer credit. In addition, about 12 companies will report profits.
Especially for Apple movers
In addition to the main driving forces of the market, Apple stock may also be affected by events specific to the company. For example, Seeking Alpha reported the following:
- To reflect the multiple shrinking of similar products on the company’s higher valuations, Morgan Stanley lowers Apple’s price target from $ 164 to $ 156 while maintaining its overweight rating.
- A group of analysts, which includes Katie Huberty, is raising estimates of Apple’s services revenue to account for accelerated growth in Google’s traffic-acquisition costs and strong App Store revenues. The company expects services revenue growth to accelerate 6 points to 22% YoY in FY21, up from a previous estimate of 19% YoY.
- Soap bubble: While companies have long sought to influence policies that directly affect their business, recent trends suggest that CEOs are now engaging in political debate or activism that could indirectly affect their bottom line. In an age of cancellation culture, where ideas are transferred to social media in minutes, they may have to do so, although others warn of the potential risks and consequences of choosing one side. In this regard, JPMorgan CEO Jamie Dimon will release his annual letter to shareholders today, which is expected to set out tax and social policy ideas, a day after Amazon CEO Jeff Bezos spoke out in support of President Biden’s plan to raise corporate taxes and infrastructure plan.
On Monday April 5th, I asked on Twitter what could drive Apple stock to $ 175 a share, the most optimistic Wall Street price target at the moment. To my surprise, the service segment was cited as a key factor, slightly ahead of the iPhone 12’s killer sales. Below are the results of the survey:
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(Disclaimer: This is not an investment advice. The author may be one or more of the companies mentioned in this report. The article may also contain affiliate links. These partnerships do not affect editorial content. Thanks for supporting Apple Maven)