Analysts on Jobs' absence

Steve Jobs' unexpected leave of absence from CEO duties at Apple may have a serious impact on stock, says Needham & Co.'s Charlie Wolf. The analyst notes that some investors have been rough on the company during the past six months, despite only hearing rumors of Jobs' illness. In part because of concerns that Apple has been deliberately vague about Jobs' problems, it is worried that investors may adopt a pessimistic view, including the belief that Jobs may never resume full-time work as CEO.

This may place a limit on the growth of Apple stock, but Wolf suggests it is a good sign that Jobs has not resigned, nor been asked to resign by the board of directors. Investors with cash may thus want to buy into Apple at the moment, since the iPhone and the App Store are still growing, and MacBooks were recently refreshed. Jobs' stand-in, COO Tim Cook, is also noted to have experience in running Apple solo.

Piper Jaffray analyst Gene Munster comments that while no one can fully replace Jobs, Cook is extremely skilled, and Jobs has deliberately staffed the company with people who can hold their own. Along with Cook, Apple is said to largely be run by CFO Peter Oppenheimer, and 10 different senior VPs. Much of Apple's design success can meanwhile be attributed to Jonathan Ive, in spite of Jobs' tendency to decide the overall direction of products.

by MacNN Staff