The most bullish Apple analyst says to 'buy into the iPhone 8 gloom and doom ahead of the iPhone X'
- Drexel Hamilton analyst Brian White says to buy Apple stock ahead of next Friday's iPhone X release.
- Apple shares sagged on Thursday following reports that iPhone 8 production has been slashed.
- White is the most bullish analyst currently covering Apple.
Apple shares are slipping on Thursday after reports out of Asia suggested that the company has cut production orders for the iPhone 8.
But the negative news out of Asia isn't scaring Drexel Hamilton analyst Brian White, who says to "buy into the iPhone 8 gloom and doom ahead of the iPhone X."
White is the most bullish analyst covering Apple, according to Bloomberg data, with a target of $208, about 33% above its current price of $155.70.
"This morning, Apple's stock is weak on the back of media reports around order cuts for the iPhone 8/8 Plus," he wrote in a note distributed to clients. "We would be aggressive buyers of the stock with the iPhone X cycle kicking off next Friday with pre-orders."
Apple's iPhone X goes on sale next Friday. It will be both the most advanced and the most expensive iPhone on sale during the crucial holiday quarter.
The iPhone X, which starts at $999, sports advanced facial recognition features and a new kind of screen using OLED technology.
Investors are wondering if Apple will be able to make enough iPhone X models to meet demand during the holiday quarter, as well as whether Apple fans and customers are passing on the less-advanced but still-new iPhone 8 in favor of the top-end device.
"There are many moving pieces to this iPhone cycle that should not be overlooked," White wrote. "For example, most of the people that we speak to in the U.S., and a common theme during our China Tech Tour, is that consumers are waiting on the iPhone X. Moreover, we believe the iPhone 7/7 Plus is benefitting from incremental demand as consumers can take advantage of the recent price cuts in light of the iPhone 8/8 Plus introduction."