Apple’s (NASDAQ:AAPL) iPhone 13 refresh will justify the stock’s rally from current levels. After trading in a holding pattern at around $150 for a few months ahead of the launch event, the upgrade cycle will renew revenue growth.
Apple announced new a iPhone mini, iPhone 13, two Pros, two new iPads, and Watch Series 7. The improved battery life, more power from the A15 chip, and the increased storage will set the premium product apart from the competition. Android is now behind on the operating system and hardware specifications. As Apple customers stay with the platform on the reasonably priced upgrade cycle, Android’s market share will not grow. Furthermore, Apple’s sustained customer base will benefit the streaming offerings. Apple users are more likely to sign up for streaming video and music services, lifting the company’s profit margins.
Apple iPad does not get the attention it deserves. The updated iPad will hook users on the iOS environment. From there, Apple has a good chance of cross-selling the watch, computer, or smartphone.
Markets did not react favorably to Apple’s product launch. The changes look small. For example, consumers may not care about the improved camera. Still, Apple advanced the iPhone 13 Pro camera. Users may adjust cinematic focus after the shoot. They may edit in either Dolby Vision or ProRes. Those features will appeal to content makers and soon-to-be YouTubers.
Apple remains a strong stock to consider.
