Apple is gearing up to introduce a revamped version of its popular Apple Watch in the coming years, and one industry expert believes it will be a game-changer for the tech giant.
According to a report by Bloomberg, Apple is set to unveil its new Watch Series 9 lineup at an event on September 9. However, it is Apple’s future offering, the Series X Watch, that has captured the attention of Evercore ISI analyst Amit Daryanani. In a research note, Daryanani expressed optimism about the upcoming device, stating that it will include exciting updates and features that will undoubtedly drive consumer demand.
The redesigned Apple Watch is expected to include several notable design changes. Bloomberg’s report suggests a slimmer case design, improvements to how the bands attach to the device, and the integration of new blood-pressure monitoring technology.
Daryanani believes that if implemented effectively, the addition of blood-pressure monitoring could significantly enhance the value of the Apple Watch. As dedicated blood pressure monitors typically cost over $40 and are often inconvenient to carry around, this advancement would greatly benefit users. The inclusion of this health feature will also expand the market for Apple Watches, particularly among hypertension patients who have not previously used smartwatches for blood pressure monitoring. Additionally, it may make it easier for insurance companies to assist individuals in financing the purchase of these watches.
During the third quarter, Apple’s wearables segment generated a significant portion of its overall revenue. The company’s watches accounted for $8.28 billion out of a total revenue of $81.8 billion.
In light of these developments, Daryanani, who has given Apple an “Outperform” rating with a $210 price target, remains bullish on the stock’s performance.
“The Watch X is poised to become the first major redesign in the device’s history. We believe it not only offers enough of an upgrade to entice older users to consider switching, but also presents incremental value for convincing users to switch from competitor models,” Daryanani stated.
