Analyst: Apple's iPhone 6 to Drive Record Sales

Get ready for record breaking iPhone 6 sales. That's what Canaccord Genuity analyst Michael Walkley is expecting in part because he thinks many iPhone owners skipped the iPhone 5 and 5S cycle in anticipation of this year's models.

Analyst expects record breaking iPhone 6 salesAnalyst expects record breaking iPhone 6 sales

Mr. Walkley told investors, 

Based on our analysis of global iPhone sales by region, we believe consumers slowed the pace of iPhone upgrade purchases during the iPhone 5 and 5s product cycles, and we believe the extended replacement rates combined with new larger-screen iPhones position Apple for record iPhone 6 sales.

Apple unveiled its new iPhone lineup at a special media event on Tuesday. The iPhone 6 offers a 4.7-inch display while the iPhone 6 Plus comes with a 5.5-inch screen. Apple's previously largest iPhone model was the 5S with a 4-inch display.

The iPhone 6 will be availble for pre-order on Friday, September 12 and will ship the following week on September 19.

The new iPhone models come with a Apple-designs A8 processor, M8 motion coprocessor, higher resolution displays that offer better color quality, 8MP cameras with an improved image sensor, NFC for the company's new Apple Pay mobile payment system, thinner bodies compared to previous iPhone models, and more.

Apple also unveiled the Apple Watch as its first entry into the wearable tech market. The Apple Watch works as a companion device to the iPhone, offers turn by turn navigation, works with Siri voice commands, tracks fitness activities and heart rate, and more.

Mr. Walkley was pleased with the Apple Watch announcement, but was disappointed that it won't ship until early 2015. That said, he's still expecting the device to sell well and raised his 2015 EPS to US$7.55 and annual revenue estimate to $213.4 billion.

Mr. Walkley is maintaining his Buy rating and US$112 target price for Apple's stock. Apple is currently trading at $99.40, up 1.41 (1.44%).