updated 03:30 pm EDT, Mon March 16, 2009
Broadpoint ups Apple
Broadpoint.Amtech analyst Brian Marshall has raised EPS estimates for Apple, as well as the stock's price target. The latter has been boosted from $110 to $120, while FY09 EPS predictions have been shifted from $5.52 to $5.70. In FY10, EPS is expected to be $6.56 instead of $6.36. The stock continues to be classified under a Buy rating.
Marshall cites several reasons for the improved opinion, most generically Apple's ability to "gain share in large markets while generating tremendous amounts of cash," all in the face of a global recession. Also mentioned are new iPhones for June, which Marshall suggests will be divided into a high-end model with up to 32GB of storage, and a stripped-down version costing only $99. June-quarter iPhone shipments could be twice Broadpoint's 3.1 million estimate for March, says Marshall.
March Mac shipments are meanwhile expected to hit 2.3 million rather than 2.1, due to evidence of better sell-through. Other upcoming help is said to include Mac OS X Snow Leopard, which Marshall suggests will ship in September and prompt 2 million upgrades at a cost of $99 each. The analyst lastly forecasts a new notebook or tablet launch for the summer, proposing that the device could sell 900,000 units in 2009 and another 2.2 million in 2010. Rumors have circulated that Apple is currently developing a 10-inch netbook.