financial/investor
09/27/2006, 9:50am, EDT
Wednesday, September 27th
Analyst forsees Apple pullback
Senior analyst Shaw Wu of American Technology Research today removed Apple from the firm's Focus List due to increased hype over Apple's expected cellular handset. "While we remain long-term positive, we believe Apple shares may reflect too much near-term cell phone optimism," wrote Wu in a research note obtained by MacNN. Apple shares have appreciated 15 percent vs. 3 percent in the NASDAQ since the firm added the Cupertino-based company to its Focus List roughly three weeks ago. "We would not be surprised to see a near-term pullback and would be aggressive buyers at lower levels (low-$70s, high-$60s)." The analyst also commented on Microsoft's new Zune media player, pointing to the company's possibly forsaken PlaysForSure Digital Rights Management (DRM), as well as its "partners" in the digital music industry. "We believe the unexpected side effect will be further fragmentation in the Windows Media market, creating more confusion to consumers," said Wu. The firm maintains its "Buy" rating on Apple shares with a $91 price target.
Filed under: Investor
, 
, 11
, 
, 
, 
, 
, 
Top
subscribe to comments
for this article
IMHO, in the long run AAPL can go up in a big way. Licensing osX 10.5 isn't totally out of the question and from that day on just about everything is possible. Offering osX to the 100$ laptop project was a first step and Apple may well surprise us with a second step. :-)
It's likely that Wu knows the original iPhone release will not be the the unit Apple originally envisioned, but rather a less ambitious product that became a fall-back when it was clear the original plan would not meet a reasonable timetable.
In any case, good advice... and only time will tell what the iPhone will be and do, and when.
And what is he saying, anyway, that causes the bashing? That he thinks apple stock might see a pull-back from profit taking in the near term, but still have a long-term buy. So, basically he's saying Apple's got a good outlook. If you want something that may well make you some decent return, buy Apple.
Yeah, I can see why jarod hates it. Of course, if anyone dares say anything that doesn't include the words "Buy apple now! Don't even think of selling!", the person's an idiot. As if all stocks in the world are bought and sold on logic, numbers, and everything else, but Apple's is the only one bought and sold by the stupidest of traders who just don't know that Apple's stock is poised to reach the $1000 mark if only they wouldn't keep selling it at $5 a share.