GS raises AAPL estimates

Apple will continue to , according to one industry analayst. In a new research note, Goldman Sachs research analyst David Bailey maintained an "in-line" rating on Apple, but raised earnings estimates for the company, expecting holiday iPod demand and anticipation of upcoming product announcements to continue to drive earnings growth into 2006, according to Forbes: "2006 will undoubtedly mark another major year in Apple's transformation, but its new markets bring together tougher competition," wrote the analyst in a recent research note. "If early indications from suppliers prove correct, Apple is likely to move further from its Mac core in 2006, leveraging its brand and building on the consumer success of iPod."

Bailey said that Apple's first move into the living room could come at Macworld Expo in January 2006, where Apple would introduce an updated Mac mini with a remote control and bunlded with Front Row.

Citing tight supplies of iPods this holiday season, the analyst estimates that Apple will sell 11.6 million iPods in the December quarter, up from his previous estimate of 10 million, according to the report. The analyst raised his fiscal first-quarter earnings-per-share estimate for the company to 53 cents from 49 cents as well as raised the fiscal 2006 EPS estimate to $1.83 from $1.64.

by MacNN Staff