Apple Inc (AAPL) is on the cusp of launching a new trade-in program for its Mac computers at retail stores, starting next week in the US and Canada, according to a Bloomberg report.
Citing people familiar with the matter, Bloomberg says that Apple intends to commence the new program on June 15 in the US and June 18 in Canada. This means that customers can exchange a Mac for credit towards a new computer or take the trade-in value as an Apple gift card.
The offer was previously only available for Mac computers on Apple’s website, but the store trade-in program already exists for the iPhone, iPad and Apple Watch.
Apple is hoping the new offer could encourage customers to upgrade their Macs more frequently. Currently Mac sales make up about 10% of the company’s total annual revenue.
In a separate report, Bloomberg also announced that Apple will introduce a 12-month interest-free payment plan via its Apple Card in the coming weeks for iPads, Macs, the Apple Pencil, iPad keyboards, and the Mac XDR Display monitor.
According to these sources, Apple will also offer a six months payment plan with no interest for the AirPods, Apple TV, and HomePod.
Shares in Apple have soared 17% year-to-date, and as a result, the average analyst price target now indicates 5% downside potential from current levels. However, the Street consensus stands at a bullish Strong Buy with 28 buys, 3 holds and 1 sell. (See Apple stock analysis on TipRanks).
“Importantly, AAPL continues to grow its install base, which we expect will drive recurring purchases over the coming years as customers become ingrained in the iPhone and greater Apple ecosystem” cheers RBC Capital analyst Robert Muller.
He recently reiterated his AAPL buy rating with a $345 price target, forecasting robust growth once 5G-enabled iPhones hit the market.