Analyst: Q1 iPhone sales to be high, iMacs may be hampered
updated 09:35 am EST, Mon January 25, 2010
General investor sentiment holds
iPhone sales should be high when Apple announces its Q1 2010 results later today, says Kaufman Bros. analyst Shaw Wu. The firm is currently predicting a figure of 9.5 million units, well above a consensus of 8.9 million, and the 7.4 million which set an Apple record last quarter. The company may soon be able to beat Research in Motion's internal record of 10.1 million BlackBerries.
Kaufman is also calling for 22 million iPods, above a consensus 21 million, but just 2.9 million Macs instead of the Street's 3. The trouble is said to be "production issues" with the new iMacs, which may be limiting the amount of computers Apple can actually sell. A shipping delay in December may have been linked to Apple fixing problems with video errors and/or cracking screens.
Overall Kaufman is calling for $12.4 billion in Q1 revenue, with an EPS of $2.15, and a gross margin of 34.8 percent. Consensus presently sits at $12 billion in revenue and $2.07 in EPS. For Q2, Kaufman's early estimates suggest $9.8 billion in revenue with $1.55 in EPS, contrasting with a consensus of $10.4 billion and $1.77. The firm's official stock price target remains $253.
Tracking firm Piqqem meanwhile claims that investor sentiment is "very high," earning Apple a score of 50. While out of a maximum of 100, and down 9 points since November, the score nevertheless puts Apple in Piqqem's top rankings. Of the 38 analysts who track Apple, moreover, 15 have raised their EPS estimates in the last 30 days, and none have lowered them.
Apple will announce its results at 2PM Pacific time today, or 5PM Eastern.
