Apple Inc. (NASDAQ:AAPL) is expected to release the iPhone 5S in at least two sizes, according to Topeka Capital analyst Brian White. He issued a report to investors have meeting with a company which supplies components for tech companies, including Apple Inc. (NASDAQ:AAPL).
There’s been a lot of debate lately about what Apple Inc. (NASDAQ:AAPL) should do, and releasing a low-cost iPhone and an iPhone with a larger screen are both on the list. White said after meeting with one of Apple’s suppliers, he believes the iPhone 5S will have at least two screen sizes, if not three. He also believes that the device will come out in July.
Within the release, he predicts that a lower priced iPhone will be included, although he doesn’t believe that the price of the device will fall below $300, so those who expect an iPhone that costs less than $200 will be very disappointed. According to White, a price point between $300 and $350 could give Apple Inc. (NASDAQ:AAPL) the opportunity to not only address emerging markets like China but also keep its margins and brand up to the standards expected by both investors and consumers.
Even though Samsung Electronics Co., Ltd. (LON:BC94) (KRX:005930) has just released the Galaxy S4, White’s contact believes Apple Inc. (NASDAQ:AAPL)’s next iPhone will be superior to it, so Samsung could start shedding market share to Apple Inc. (NASDAQ:AAPL).
White is maintaining his Buy rating and $888 price target on shares of Apple Inc. (NASDAQ:AAPL). At the moment of this writing, shares of Apple Inc. (NASDAQ:AAPL) had fallen .46 percent in Tuesday morning trades on the NASDAQ.