As Apple Inc. (AAPL) - Get Report prepares to launch its newest iPhone model on Tuesday, JPMorgan analysts said the "main variable" heading into the launch is the specific week the iPhone X will become available.
The OLED iPhone X will likely ship in October, analysts wrote in a Monday note, as Apple is thought to have started volume production in September. For every 1 million iPhone X units sold, there are a "few million" units of impact on JPMorgan's December earnings forecast for Apple.
Price "is a smaller but also relevant variable." The OLED 265GB model is expected to retail for $1,100, JPMorgan wrote, with regular LCD models priced similarly to iPhone 7 cost structure. But price elasticity is "low in the luxury market that this device is targeting."
Apple is also expected to unveil new Apple Watch and Apple TV products at the Tuesday event in Cupertino, Calif. "The most important thing that Apple is likely to say about the Apple TV financially relates to the content available on the device," analysts wrote. Amazon.com Inc.'s (AMZN) - Get Report Amazon Prime Video is predicted to be available on this rendition of the Apple TV.
Apple stock traded up 1.8% to $161.46 midday Monday.
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