Piper Jaffray analyst Michael Olson raised his price target for Apple (AAPL) to $290 from $270 after surveying 569 domestic iPhone users.
The shares closed Thursday down $1.83 to $262.64.
The survey suggests a year-over-year improvement in upgrade rates for the newly released device, Olson tells investors in a research note. Specifically, 35% of those surveyed have either already upgraded to an iPhone 11 or 11 Pro or plan to within the coming months, which is consistent with 35% in last year's survey, says the analyst. He is modeling for flat year-over-year iPhone revenue in fiscal 2020, which is consistent with consensus estimates, and says a "slight improvement" in upgrade rates could signal a potential for upside.
Further, while still nearly a year away, Olson believes the launch of a 5G iPhone could also drive upgrades. He maintains an Overweight rating on Apple shares.
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