updated 10:10 am EST, Wed January 25, 2012
Canaccord pushes stock target up to $650
Several analysts have improved their estimates for Apple in the wake of the company's first-quarter results. Perhaps the biggest adjustments have been made by Canaccord Genuity's Michael Walkley, who for instance has raised his price target for Apple stock from $560 to an unprecedented $650. "Very strong and best-ever iPhone, iPad, and Mac sales contributed to record Apple results," he writes in a new memo. "Apple's FQ2 guidance for pro forma EPS of $8.50 was also ahead of our $7.97 and consensus $8.02 estimate. We believe Apple is well positioned for very strong C2012/13 sales and earnings growth driven by new product introductions, including the pending refresh of MacBook Air, the iPad 3 launching this spring, an LTE iPhone likely in CQ3/12 and potentially Apple TV exiting C2012."
"We are raising our F2012 pro forma EPS estimate from $34.16 to $41.06 and our F2013 estimate from $40.02 to $46.50," he adds.
Sterne Agee's Shaw Wu has made a more conservative stock target bump, from $540 to $550, but is calling for better revenue and EPS forecasts. "For FY12, we are now at $156.4 billion in revenue and $43.00 in EPS (from $141.7 billion and $36.50 in EPS). For FY13, we are introducing estimates of $175.7 billion in revenue and $48.00 in EPS."
Needham analyst Charlie Wolf is tweaking his EPS predictions from $38.70 to $41.25 for FY2012, and beginning FY2013 predictions with a $53 EPS call.
Maynard Um of UBS, lastly, has pushed a second-quarter forecast up from $33.7 billion in revenue and $8.54 in EPS to figures of $37.5 billion and $10.95, respectively. Looking out to the entire fiscal year, numbers have been pushed from $142.7 billion and $35.85 to $161.2 billion and $46.09.