The iPhone 8 could be a “powder keg” for Apple stock, according to one analyst who continues to espouse the super cycle thesis for the shares. It’s pretty much the same, old song and dance, but with a price target increase this time.

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Cowen boosts Apple stock price target to $155

In a research note, Cowen and Company analyst Timothy Arcuri said he increased his price target for Apple stock to $155 from $135 due to the expected launch of the iPhone 8 in the fall. He still sees room in the stock’s multiple and feels that estimates for the iPhone maker’s results this year still have to go up a lot. For the three new models expected this year, including the iPhone 7s, iPhone 7s Plus and iPhone 8, he estimates total units of about 110 million for 2017.

Of that total, he believes about 55 million to 60 million will be the rumored 5.8-inch OLED display iPhone 8. He’s projecting 20 million to 25 million to be the iPhone 7s Plus and 35 million to 40 million to be the iPhone 7s.

Believing the iPhone 8 rumors

The analyst pretty much believes all the rumors regarding the iPhone 8, as he’s expecting it to feature an edge-to-edge 5.8-inch display with new function buttons and no physical Home button. He feels that other potential updates to the iPhone 8 could be facial recognition technology and wireless charging, probably using Broadcom’s components.

He also said in his report that Apple is attempting to implement its new Touch ID technology under the display. He claims that the company wants to use technology developed by AuthenTec, which it acquired in 2012, but it’s “open to other options.”  He added that the iPhone 8 will probably be the only one of this year’s three new models to feature facial and gesture recognition, although he expects the iPhone 8 and iPhone 7s Plus to both have dual-lens cameras.

iPhone 7 line also supporting Apple stock

But the iPhone 8 isn’t the only reason Arcuri raised his price target for Apple stock. He also said the iPhone 7 lineup continues to sell well, backing up reports from other analysts. Arcuri raised his iPhone unit estimate for the March quarter based on his supply chain checks. He now expects the company to ship 50.5 million iPhones during the March quarter. He pegs the average selling price for the iPhone during the quarter at $685.

Shares of Apple stock closed up 1.04% at $141.05 on Monday.