Apple iPhone 17 Demand Could Exceed Expectations: Gene Munster Says 'Upside Over The Next Year' Coming

Core Viewpoint - Early demand indicators for the iPhone 17 show strong lead times, suggesting potential upside for Apple's stock in the coming year [1][2]. Group 1: Demand Indicators - Lead times for the iPhone 17 average 2.6 weeks across eight countries, an increase from 1.7 weeks for the iPhone 16 at the same time last year [3]. - In China, the average lead time is 4.4 weeks, a 119% increase from last year's 2.0 weeks, while in the United States, it is up 57% year-over-year to 1.3 weeks [4]. - JD.com reported that first-day pre-orders for the iPhone 17 exceeded those of the iPhone 16 launch, indicating strong demand in China [5]. Group 2: Revenue Growth Estimates - Current estimates predict an 8% year-over-year growth in iPhone revenue for the current quarter, surpassing the Street consensus estimate of 7% [5]. - For fiscal 2026, iPhone growth is projected at 8%, exceeding the Street estimate of 5% [6]. - Although this growth is better than recent years, it falls short of the 39% year-over-year growth seen in fiscal 2021 [7]. Group 3: AI and Future Prospects - Apple has been perceived as lagging in AI development, but there is potential for improvement as the company has time to refine its strategy [8]. - The substantial user base of Apple, estimated at 1.7 billion, may help the company maintain its position against competitors, even as consumers await new AI features [9]. Group 4: Stock Performance - Apple stock has increased by 3.6% to $254.27, with a year-to-date rise of 4.3% in 2025 [10].