Apple Inc (AAPL) Stock Price To Go Higher Than $140; Apple Watch Preorders Closely Watched

The movement of Apple Inc (AAPL) stock will be watched closely by analysts and investors after initial reports had claimed that Apple Watch pre-orders had reached nearly a million units. Apple’s stock had closed $127.10 on April 10.

Richard Ross, Evercore ISI’s head of technical analysis, told CNBC that while Apple stock is expected to move higher. He explained that a “coil” or triangular pattern has formed on the chart for Apple shares in the past few months. Ross predicted Apple’s shares to reach the price target of $143 as the company consolidates.

Meanwhile, Reuters reported that reviewers had praised the Apple Watch for being “stylish” and “beautiful” but they did not like relatively short battery life and the lag time when apps are loading. Sales predictions for the Apple Watch are mixed with Piper Jaffray previously predicting Apple to sell 8 million units of its first smart wearable device.

Apple is widely expected to beat its rivals in the smartwatch market. Independent technology analyst Richard Windsor said Apple is expected to outsell its rivals by a “wide margin.” He believes Apple will be able to achieve this goal by the power of its brand and design.

Not all analysts were impressed by the Apple Watch. Barron’s has downgraded its price target for Apple stock ahead of the company’s fiscal second quarter 2015 results to be released on Apr. 27. According to Barron’s, early reviews of the Apple Watch suggest it will fall short of its benchmark.

Barron's said the Apple Watch may have nearly immaterial impact in the near term. Some analysts have become concerned that muted reviews about the Apple Watch could cause investors to doubt Apple’s ability to launch a successful new product line.

Citi analyst Jim Suva had released a research report with five reasons why he believes Apple stock will continue to rise in the coming months. He said Apple stock is “undervalued” at $125. Suva also claimed that Apple’s gross margin is expected to grow as consumers are being pushed to buy larger storage capacity iPhones.

Previous reports have indicated that Apple Pay is already a success despite the mobile payment service being limited to Apple’s newer generation of devices. Suva believes Apple Pay and Passbook may bring more growth opportunities for Apple.

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