Could Apple Inc. (AAPL) Answer Talks of Low iPhone Sales with the iPhone 5SE?

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Much has been made about Apple Inc. (NASDAQ:AAPL)’s slowing production of the iPhone, whether you believe it or not. While iPhone sales have grown only slightly year-over-year, we must keep in mind that year-over-year analytics are not always best when comparing iPhone sales. Last year saw an entirely new upgrade while this year merely brought us the 6S. Regardless, Apple still apparently has plans to continue growing the market for their smartphones. The next move may just be something quite unexpected though.

That’s right, the iPhone 5SE might be the next iPhone to aid in the growth of sales. According to 9to5Mac, this would be a smaller device which is a expected to be a mix between the iPhone 5S and iPhone 6. While many were expecting that we could perhaps see the company reveal the iPhone 6C, the iPhone 5SE (stands for ‘special edition’) might be the best bet.

The 5SE would be similar to the iPhone 5S, except it would feature many of the same abilities as the iPhone 6S, such as Apple Pay, Live Photos, and more. Most importantly though, is that it would be priced much more affordably, sans contract, than any other Apple iPhone on the market. Rumors have the price coming in at less than $450 which makes it a possibilities for many individuals in developing countries, particularly those which Apple seems to have a goal of overtaking. They include India, China, and others.

Regardless, it should be interesting to see what Apple has in store for us. They always seems to have something of their sleeves. The stock is up 0.79% or $0.74 following the news, hitting $94.16 per share. About 47.07 million shares traded hands. AAPL has declined 26.46% since June 23, 2015 and is downtrending. It has underperformed the S&P500 by 15.44%.

From a total of 32 analysts covering Apple Inc. (NASDAQ:AAPL) stock, 28 rate it a “Buy”, 0 a “Sell”, and 4 a “Hold”. This means that 88% of the ratings are positive. The highest target price is $200 while the lowest target price is $102. The mean of all analyst targets is $142.97 which is 51.84% above today’s ($94.16) stock price. Apple Inc. was the topic of 105 analyst reports since July 21, 2015 according to the firm StockzIntelligence Inc. Deutsche Bank maintained shares on January 11 with a “Hold” rating. Stifel Nicolaus maintained shares with a”Buy” rating and a $140 target share price in their report from a December 23. Mizuho upgraded AAPL stock in a recent report from January 11 to a “Buy” rating. Barclays Capital maintained the rating on December 14. Barclays Capital has a “Overweight” rating and a $150 price target on shares. Finally, Canaccord Genuity maintained the stock with a “Buy” rating in a report they issued on a January 8.

The institutional sentiment increased to 1.18 in Q2 2015. It’s up 0.22, from 0.96 in 2015Q2. The ratio increased, as 103 funds sold all their Apple Inc. shares they owned while 854 reduced their positions. 102 funds bought stakes while 1032 increased their total positions. Institutions now own 3.20 billion shares which is 1.58% less than the previous share count of 3.25 billion in 2015Q2.

Compton Capital Management Inc Ri holds 45.15% of its total portfolio in Apple Inc., equating to 113,694 shares. Raiff Partners Inc owns 100,000 shares representing 32.27% of their total US portfolio. Moreover, Rfg Advisory Group Llc has 25.06% of their total portfolio invested in the company, equating to 70,558 shares. The New York-based Independent Investors Inc has a total of 23.66% of their portfolio invested in the stock. Dock Street Asset Management Inc, a Connecticut-based fund reported 269,584 shares owned.

Since March 6, 2015, the stock had 0 insider purchases, and 5 selling transactions for a total of $8.58 million in net activity. Maestri Luca sold 2,908 shares worth $325,347. Williams Jeffrey E sold 46,873 shares worth $5.18M. Riccio Daniel J. sold 24,085 shares worth $3.01M. Ahrendts Angela J sold 44,789 shares worth $5.90M. The insider Levinson Arthur D sold 70,000 shares worth $9.20M.

Apple Inc. designs, manufactures and markets mobile communication and media devices, personal computers, and portable digital music players, and a variety of related software, services, peripherals, networking solutions, and third-party digital content and applications. The company has a market cap of $521.07 billion. The Company’s services and products include iPhone, iPad, Mac, iPod, Apple TV, a portfolio of consumer and professional software applications, the iOS and OS X operating systems, iCloud, and a variety of accessory, service and support offerings. It has 10 P/E ratio. The Firm also delivers digital content and applications through the iTunes Store, App StoreSM, iBookstoreSM, and Mac App Store.

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