Another iPhone reveal, another underwhelming post-keynote reaction in shares of Apple (NASDAQ:), which continues to drag its feet into late September.

Although the iPhone 13 did not have a breakthrough feature like satellite connectivity as some expected, it was able to provide incremental improvements that prompted Apple customers (digitally) into line for their pre-orders.

Despite this, I am still bullish on AAPL stock as the iPhone 13’s first batch is shipped out to many pre-ordered. (See Apple stock charts on TipRanks)

Apple’s iPhone 13 Reveal

Undoubtedly, Apple stuck with its Base, Pro, and Pro Max models, with the added surprise of a Mini model, for its latest slate of iPhones.

Apart from the brand new iPhone 7, there was an eagerly awaited update for the iPad Mini 7 as well as the Apple Watch Series 7 7. Apart from some drone shots, which took attendees through stunning Californian scenery, the whole keynote was quite boring.

Apple stock fell significantly and flirted with corrections before rebounding modestly back to about $145 per shares. Although the iPhone 13 does not have any new features, it still stands to be an Apple product that is a big seller.

The design of the iPhone 13 didn’t undergo major changes or offer satellite connectivity as many hoped. Apple lovers can still look forward to the smaller notch and improved battery life.

Pricing Sweet Spot

Most iPhone 12 users will probably hold off on the 13, as the upgrades may not be worth paying one’s way out of a telecom contract a year early. Smartphone users who are not yet upgrading their iPhones will be able to do so at a very attractive price.

Apple is the only company with such a powerful pricing system. Apple’s AirPods Max headphones can be purchased for as high as $800, and Apple users will not hesitate to pay that amount.

Apple’s reputation is unparalleled, and so is the company’s ability to increase prices in an inflationary or non-inflationary environment. Apple’s decision not to increase prices dramatically on its iPhone 13 range was exciting, particularly considering that inflation has been rampant.

It isn’t cheap, but the iPhone still costs a lot. However, gig-for-gig models are almost unchanged compared to last year’s iPhones. Apple did not raise the prices to cushion investors in response to recent inflation surges.

Customers will be lured by the 1TB storage option available on Apple’s “most Pro” models, but they may end up paying more to get it. Apple may have decided to lower prices to gain market share during the 5G upgrade phase.

Trade-ins that reduce the price further and sweeten telecom subsidies and BNPL options make for an amazing top-line beat. This is something we have not seen since the radically redesigned iPhone X upgrade.

Wall Street’s Take

According to TipRanks’ consensus analyst rating, AAPL stock comes in as a Strong Buy. From 25 analyst ratings there are 16 Buy recommendations and 6 Hold recommendations.

The average AAPL price target is $169.64. Price targets for analysts can range anywhere from $140 per shares to $198 per Share.

Bottom Line

While the keynote wasn’t too impressive, analysts seem to be liking the iPhone 13’s chances of moving shares higher over the next 12 months.

Initial signs suggest that the iPhone 13 will be a great success both in America and China. JD.com (NASDAQ) was able to sell 3 million preorders for the iPhone 13 on Day 1.

Apple’s website also was reportedly oversubscribed by pre-orders. This bodes well for the future.

Disclosure: Joey Frenette held shares in Apple at publication.

Disclaimer: This article is solely the author’s opinion and does not reflect the opinions of TipRanks and its affiliates. It should only be used for informational purposes. TipRanks does not warrant the accuracy, reliability or completeness of this information. This article is not intended to be interpreted as an offer or recommendation for the purchase or sale of securities. The article does not provide legal, financial, investment, or professional advice. It also doesn’t take into consideration the individual needs or requirements. Neither is the information contained in it a complete or comprehensive statement about the subject or issues discussed. TipRanks, its affiliates, disclaim any liability or responsibility in relation to the article’s content. You are responsible for your actions based upon the articles. TipRanks and its affiliates do not endorse or recommend this link. The past performance of TipRanks or its affiliates is not an indication of future prices, results, or performances.