Apple: Canaccord Genuity says services growth 'impressive'

(CercleFinance.com) - Canaccord Genuity maintains its "buy" rating and 250-dollar target price for Apple, saying that the company's "solid" quarterly results keep its long-term positive thesis intact.


While guidance for the December quarter was "slightly below" its estimates, due to global macro uncertainty and FX headwinds, the Canadian broker prefers to focus on the group's "impressive" installed base of iPhones, which should drive strong upside.

"We believe Apple can sustain double digit services revenue growth including growth from the App Store, strong subscriber growth in Apple Music, Apple Care, iTunes/iCloud and Apple Pay," it wrote in a note.

"In addition, we believe Apple is developing additional services that could lead to new areas of growth for this strong mix of recurring revenue products," Canaccord added.

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