Apple stock projected to hit $300 on strength of iPhone, Mac sales
Less than a week ahead of Apple's quarterly earnings report, two analysts increased their price target for the company's stock -- one to $299 and the other to $300.
Piper Jaffray
Though Apple's earnings won't be reported until April 20, the company tipped its hand last week when it revealed that it has shipped more than 50 million iPhones. That means that Apple sold at least 6.9 million iPhones in the March quarter, and likely many more.
Analyst Gene Munster with Piper Jaffray said Wednesday that he remains confident in his estimate of 7.5 million iPhones for the first quarter of calendar 2010. If Apple's "more than 50 million" total actually means 51 million, that would imply sales of 7.8 million iPhones in the March quarter.
Munster's estimate of 7.5 million would represent 93 percent year-over-year growth in iPhone sales. That's consistent with the 90 percent increase Apple saw last quarter.
Munster has also raised his estimate for Mac sales in the quarter to 2.9 million, up from 2.6 million. The analyst cited NPD data, which shows that retail sales of Macs are tracking up 39 percent year over year.
Munster expects Apple's stock to hit $299 in the next year -- up from his previous forecast of $287. Piper Jaffray has also maintained its overweight rating for AAPL stock.
Caris & Company
Analyst Robert Cihra expects Apple's stock to go a dollar higher than Munster, with a formal prediction of $300 issued to investors Wednesday. That's up from Cihra's previous price target of $260.
Cihra expects to see revenue of $12.5 billion and earnings per share of $2.70 when Apple reports its second financial quarter earnings next week. Those numbers are driven by an estimated 7.5 million iPhone sales, 3.1 million Mac sales and 41 percent gross margin.
Cihra has also increased his iPad sales estimates to 5.5 million in the 2010 calendar year, up from his prior prediction of 4.5 million. Cihra also expects the iPad to cannibalize iPod touch units, but at two to three times the average selling price, the iPad will produce three to four times more gross profit per unit.
Piper Jaffray
Though Apple's earnings won't be reported until April 20, the company tipped its hand last week when it revealed that it has shipped more than 50 million iPhones. That means that Apple sold at least 6.9 million iPhones in the March quarter, and likely many more.
Analyst Gene Munster with Piper Jaffray said Wednesday that he remains confident in his estimate of 7.5 million iPhones for the first quarter of calendar 2010. If Apple's "more than 50 million" total actually means 51 million, that would imply sales of 7.8 million iPhones in the March quarter.
Munster's estimate of 7.5 million would represent 93 percent year-over-year growth in iPhone sales. That's consistent with the 90 percent increase Apple saw last quarter.
Munster has also raised his estimate for Mac sales in the quarter to 2.9 million, up from 2.6 million. The analyst cited NPD data, which shows that retail sales of Macs are tracking up 39 percent year over year.
Munster expects Apple's stock to hit $299 in the next year -- up from his previous forecast of $287. Piper Jaffray has also maintained its overweight rating for AAPL stock.
Caris & Company
Analyst Robert Cihra expects Apple's stock to go a dollar higher than Munster, with a formal prediction of $300 issued to investors Wednesday. That's up from Cihra's previous price target of $260.
Cihra expects to see revenue of $12.5 billion and earnings per share of $2.70 when Apple reports its second financial quarter earnings next week. Those numbers are driven by an estimated 7.5 million iPhone sales, 3.1 million Mac sales and 41 percent gross margin.
Cihra has also increased his iPad sales estimates to 5.5 million in the 2010 calendar year, up from his prior prediction of 4.5 million. Cihra also expects the iPad to cannibalize iPod touch units, but at two to three times the average selling price, the iPad will produce three to four times more gross profit per unit.
Comments
Thanks!
Anyone here buy in at that point? I bet you're fat and happy now
I told my dad to buy Apple stock when the first ipods came out lol. I always remind him of that.
Anyone here buy in at that point? I bet you're fat and happy now
Very happy! I bought in well before that. Profits on AAPL have more than paid for all the Apple products I have purchased.
I told my dad to buy Apple stock when the first ipods came out lol. I always remind him of that.
Anyone here buy in at that point? I bet you're fat and happy now
I also bought 1000 shares back in 2004 when the stock price was $28. AAPL has split 2for1 since them making my effective cost $14 each. You do the Math!
iLogic
I also bought 1000 shares back in 2004 when the stock price was $28. AAPL has split 2for1 since them making my effective cost $14 each. You do the Math!
Nice. Way back when I had a 4400. The cheapest ugliest Apple computer ever. SJ was with Next and Apple was reduced to turning out cheapness. The only thing reported on Apple in those days was their imminent collapse. Every article started with 'the beleaguered Apple'. Yet I remember reading that in spite of all the gloom there were some 20 mil Mac users out there and I thought that with that kind of user base there was no way they would lie down and just die. If I'd had a few grand to spare I would have bought in then but I didn't so I didn't. I should have taken a loan!
I also bought 1000 shares back in 2004 when the stock price was $28. AAPL has split 2for1 since them making my effective cost $14 each. You do the Math!
Did the math. I think you fit into the fat and happy category.
Hey Steve, split the stock!
Thanks!
Will not happen, Apple has made it very clear they will not dilute the stock anymore if anything they may buy some back to continue to drive up share price.
I also bought 1000 shares back in 2004 when the stock price was $28. AAPL has split 2for1 since them making my effective cost $14 each. You do the Math!
But did you hold, or did you ever sell?
I told my dad to buy Apple stock when the first ipods came out lol. I always remind him of that.
Anyone here buy in at that point? I bet you're fat and happy now
I bought a thousand shares at $24.66, pre-split. Now have 2000 shares at a cost basis of $12.33 each. very happy.
Thompson
Will not happen, Apple has made it very clear they will not dilute the stock anymore if anything they may buy some back to continue to drive up share price.
A split is not a dilution. In fact, it's nothing but a meaningless numbers game.
But did you hold, or did you ever sell?
I won't say how much I hold, but put it this way: I placed what seemed like a fairly modest bet on AAPL in 1997. I still hold those shares (having bought and sold others since). My cost basis on the original purchase is under $4.00 a share. Some day I am going to owe the Tax Man a ton.
Have more than $400000 riding on AAPL
Hey Steve, split the stock!
Thanks!
Yes! Then get it to 500 after the split within two years please so I can retire happy.
A split is not a dilution. In fact, it's nothing but a meaningless numbers game.
I won't say how much I hold, but put it this way: I placed what seemed like a fairly modest bet on AAPL in 1997. I still hold those shares (having bought and sold others since). My cost basis on the original purchase is under $4.00 a share. Some day I am going to owe the Tax Man a ton.
Well done there. I did it in 2000. I would love to see a massive tax bill one day too
Will not happen, Apple has made it very clear they will not dilute the stock anymore if anything they may buy some back to continue to drive up share price.
OK, whatever works
... hey what's with my post increments counter?
p.s. I hate those aggregated responses hence I use individual ones to different folks. It doesn't waste paper people