AAPL target raised to $103

Piper Jaffray is the latest analyst to raise its price target and estimates for Apple stock, following the announcements at the Expo. Much like , the firm raised its price target and earnings estimates based future iPod and Mac growh. Piper raised its target price on Apple to $103 (from $80) based on its expectations for continued market share gains for both Mac and iPod. In his research note to clients, analyst Gene Munster said that "while 2005 was the year of iPod growth," he believes that 2006 "is poised to be the year of both iPod growth and, more importantly, Mac market share gains." The firm also expects conservative guidance by Apple for its March quarter, a 2-for-1 stock split announcement, and the analyst also believes that Apple will deliver new categories of products by end of 2006. Apple is expected to report earnings on January 18, 2006.

"We believe the Apple story will continue to gain momentum in 2007, as the company is addressing the fastest growing market segments that touch the digital consumer (portable audio/video and home entertainment). Given Apple's current trajectory, legitimate competition in these markets in 2007 is unlikely. While seemingly aggressive, we expect Apple can outperform the competition for multiple years, assuming the current pace of innovation continues."

by MacNN Staff