{"id":537799,"date":"2010-04-21T09:44:00","date_gmt":"2010-04-21T13:44:00","guid":{"rendered":"e2249889-c78b-43e3-9643-b1d7d4aa587b:426202"},"modified":"2010-04-21T09:44:00","modified_gmt":"2010-04-21T13:44:00","slug":"analysts-up-targets-on-apple-after-stunning-results","status":"publish","type":"post","link":"https:\/\/mereja.media\/index\/537799","title":{"rendered":"Analysts up targets on Apple after ‘stunning’ results"},"content":{"rendered":"

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After second quarter results<\/a> from Apple Inc. that the Street called \u201cstunning,\u201d analysts have raised their price targets<\/a> on the smartphone and computer maker.<\/p>\n

One of the more bullish of the group, Mike Abramsky of RBC Capital Markets, hiked his forecast for the stock<\/a> from US$275 to US$350. The analyst said Apple is positioned for multi-market share gains at healthy margins.<\/p>\n

While the past 12 months was all about the entry of the iPhone, Apple now faces four large market opportunities that he estimates will see a total two billion units sold. Also due to the company\u2019s strong competitive advantages; Mr. Abramsky told clients that the next leg of valuation may be about iPhone global market expansion, the entry of iPad, further PC share gains and iPod\/iTunes contribution.<\/p>\n

Apple beat Canaccord Adams analyst Peter Misek\u2019s near-consensus estimates by 12% on the top line and a whopping 38% on the bottom line.<\/p>\n

Driven largely by strong iPhone and desktop shipments, his fiscal 2010 revenue estimate climbs to US$59.3-billion from US$56.6-billion. His earnings per share (GAAP) estimate rises to US$13.32 from US$11.91. The also analyst raised his price target on Apple from US$300 to US$325.<\/p>\n

J.P.Morgan\u2019s Mark Moskowitz hiked his forecast for the stock from US$305 to US$316, telling clients that the company\u2019s quarterly results and outlook should be more than enough to keep pushing the stock higher.<\/p>\n

\u201cWhile there was some noise around gross margins, particularly as relates to the iPad in the early stages, we believe that the overall revenue and earnings growth profiles have no rivals in large cap technology,\u201d he said.<\/p>\n

Over the next few years, the analyst believes that Apple\u2019s revenue and earnings growth could stay well above 20%, which would require a favorable reset to the stock\u2019s valuation.<\/p>\n

Richard Gardner at Citigroup boosted his price target from US$300 to US$320 and raised his estimates for 2010 through 2012. Apple remains near the top of his list of preferred hardware names.<\/p>\n

\u201cWhile the shares may take a breather following Wednesday\u2019s rally, we would use any pull-backs as enhanced buying opportunities ahead of what should be a truly banner Holiday season for the company,\u201d he said. \u201cThe fact that Apple was able to deliver such significant upside before this year\u2019s significant product introductions\/refreshes makes us all the more confident in our positive stance through year-end.\u201d<\/p>\n

Mr. Gardner reminded clients that iPad should contribute to revenue beginning in the second quarter of calendar 2010, followed by an iPhone refresh in July, an iPod refresh in September and perhaps a CDMA iPhone on Verizon\u2019s network in time for the peak Holiday season. <\/p>\n

Deutsche Bank analyst Chris Whitmore, who raised his target from US$325 to US$350, noted that Apple\u2019s revenue upside was driven by \u201cenormous iPhone results\u201d that came in at 8.75 million versus his forecast of 7.25 million. He also pointed to an iPod beat of 10.89 million units compared to Deutsche Bank\u2019s expectation of 10 million.<\/p>\n

As expected, Apple issued conservative guidance. However, Mr. Whitmore expects iPhone and Mac demand will remain robust, in addition to strong international expansion and new product cycles.<\/p>\n

\u201cThe iPad is off to a very strong start with demand characterized as \u2018shocking\u2019 and tracking ahead of management expectation,\u201d he told clients. \u201cIn addition, we expect the iPhone to be refreshed this summer which remains immensely profitable and continues to ramp internationally.\u201d <\/p>\n

Jonathan Ratner<\/a> <\/p>\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

After second quarter results from Apple Inc. that the Street called \u201cstunning,\u201d analysts have raised their price targets on the smartphone and computer maker. One of the more bullish of the group, Mike Abramsky of RBC Capital Markets, hiked his forecast for the stock from US$275 to US$350. The analyst said Apple is positioned for […]<\/p>\n","protected":false},"author":4059,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[],"class_list":["post-537799","post","type-post","status-publish","format-standard","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/537799","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/users\/4059"}],"replies":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/comments?post=537799"}],"version-history":[{"count":0,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/537799\/revisions"}],"wp:attachment":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/media?parent=537799"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/categories?post=537799"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/tags?post=537799"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}