Analysts raise Apple stock targets based on iPhone
updated 12:10 pm EST, Mon December 28, 2009
Stock value nears $220
Two major analysts have raised their price targets for Apple stock, largely based on the iPhone. Brian Marshall of Broadpoint.AmTech has pushed his target from $235 to $260, citing a forecast of 11.3 million iPhones, versus Street consensus of 8.8 million. While US sales are forecast to fall 20 percent sequentially to 2.5 million, international sales are predicted to more than double, rising to 8.8 million in the same timeframe.
Thomas Weisel analyst Doug Reid has simultaneously raised his target from $245 to $250, following checks with Apple Store trends over the weekend. He notes a "sharp increase in the purchase of iPhone as a gift option," as well as better-than-expected iMac sales. The latter are noted to have been sparked by an October hardware refresh.
For December quarterly results Reid is now calling for $15.15 billion in non-GAAP revenue, above an earlier prediction of $14.64 billion. Non-GAAP EPS would correspondingly be $3.55 versus $3.36. The year's revenue is slated to be $53.47 billion, with $11.23 in EPS; previous estimates were $52.96 billion and $11.08.
As of this writing Apple stock is valued at over $212, up almost $4 since the beginning of Monday trading.
