Piper: Sept. iPod, iTV announcements likely to boost Apple shares

Posted:
in AAPL Investors edited January 2014
With Apple's annual media-centric keynote now set for Sept. 1, Piper Jaffray has advised investors to buy shares of AAPL prior to the event, citing past stock boosts after new iPods were unveiled.



Analyst Gene Munster said Wednesday that since 2005 Apple has hosted an event in early September every year, and shares of AAPL stock for the month have increased an average of 12 percent over that span, excluding 2008 when the market saw widespread declines. When measuring through the end of the year, shares went even higher, by an average of 22 percent.



"We believe Apple will hold a similar event this year to announce the first iPod touch with a camera, an updated Apple TV with an App Store, and iTunes changes, like a cloud-based iTunes service," he said in a note Wednesday, issued just before Apple officially announced its Sept. 1 keynote. He had recommended that investors buy AAPL stock before the announcement was made. "We would view an updated Apple TV as an important step in Apple developing an all-in-one Apple Television. An updated MacBook Air, in our opinion, is a wildcard possibility."



Munster said he believes a new Apple TV could turn the company's "hobby" into a more material business, selling millions of units per year. The current Apple TV, he said, likely sells less than a million a year.



"Bringing the App Store to the Apple TV would add many new and meaningful features (like Netflix streaming, or video games, for example)," Munster said. "Other mediar eports have indicated that Apple could offer TV show rentals for $0.99 on the iTunes store, which we would view as a step forward for Apple TV."



Munster continues to believe that a connected HDTV is in the works from Apple, likely to arrive in the next 2 to 4 years. The rumored iTV product, he said, would just be a stepping stone to an eventual flat-panel living room TV.







The analyst said it's also possible that Apple could announce a new cloud-based iTunes service could be introduced at the Sept. 1 event. A crucial part of that service, Munster believes, will be the soon-to-open data center Apple is building in North Carolina.



Coupled with an expected iPod touch update with a forward-facing camera for FaceTime video chat, Munster sees the potential for a significant increase in AAPL stock.



"We believe that investors generally anticipate the Sept. event by the beginning of the month, and anticipation builds ahead of the holiday shopping season with Apple's iPod lineup (along with Macs and other products) set for holiday sales," he said. "However, keep in mind that historical trends are not necessarily an indicator of future events."
«13

Comments

  • Reply 1 of 57
    finetunesfinetunes Posts: 2,065member
    Quote:
    Originally Posted by AppleInsider View Post


    Analyst Gene Munster said Wednesday that since 2005 Apple has hosted an event in early September every year, and shares of AAPL stock for the month have increased an average of 12 percent over that span, excluding 2008 when the market saw widespread declines. When measuring through the end of the year, shares went even higher, by an average of 22 percent.



    Then should I buy AAPL now?
  • Reply 2 of 57
    joe hsjoe hs Posts: 488member
    Quote:
    Originally Posted by FineTunes View Post


    Then should I buy AAPL now?



    The mid 90's would have been better, but yes, now will do.
  • Reply 3 of 57
    MacProMacPro Posts: 17,066member
    I wish / hope.



    I doubt iTV will do much to share value, it may even hurt. If an Apple product isn't a major hit it is a failure to investors and nothing Apple does, even when it wipes the floor with everything else seems to help the stock much.



    AAPL is sooo under valued. So yes it is a great time to buy.
  • Reply 4 of 57
    SpamSandwichSpamSandwich Posts: 28,794member
    It's way undervalued, but frankly I won't buy again unless it hits $185 or $190... which is a distinct possibility the way things are looking. The market these days is even less rational than usual. There must be massive short activity to keep AAPL as depressed as it is now.
  • Reply 5 of 57
    bagmanbagman Posts: 349member
    Quote:
    Originally Posted by SpamSandwich View Post


    It's way undervalued, but frankly I won't buy again unless it hits $185 or $190... which is a distinct possibility the way things are looking. The market these days is even less rational than usual. There must be massive short activity to keep AAPL as depressed as it is now.



    Yeah, I haven't seen a single analyst lower his/her estimates on future price, starting at $350/share and up. I'm well aware of contrary stock analysis, but this is ridiculous. Can ALL the analysts be that far off (and we're not talking about that share price in the next two years -all have stated they expect this before the end of the year.)
  • Reply 6 of 57
    monstrositymonstrosity Posts: 2,163member
    Quote:
    Originally Posted by SpamSandwich View Post


    It's way undervalued, but frankly I won't buy again unless it hits $185 or $190... which is a distinct possibility the way things are looking. The market these days is even less rational than usual. There must be massive short activity to keep AAPL as depressed as it is now.



    I'm inclined to agree. I don't trust the markets one bit right now, even though Apple are currently cookin on gas.
  • Reply 7 of 57
    monstrositymonstrosity Posts: 2,163member
    Quote:
    Originally Posted by Bagman View Post


    and we're not talking about that share price in the next two years -all have stated they expect this before the end of the year.)



    Not out of the equation either. I expect both realities to be true within a short period. There will be (more) misery followed by a sharp rise to luxury.
  • Reply 8 of 57
    dr millmossdr millmoss Posts: 5,403member
    Quote:
    Originally Posted by SpamSandwich View Post


    It's way undervalued, but frankly I won't buy again unless it hits $185 or $190... which is a distinct possibility the way things are looking. The market these days is even less rational than usual. There must be massive short activity to keep AAPL as depressed as it is now.



    It's a massively suck-tastic stock market. Or perhaps you hadn't noticed?
  • Reply 9 of 57
    MacProMacPro Posts: 17,066member
    Quote:
    Originally Posted by SpamSandwich View Post


    It's way undervalued, but frankly I won't buy again unless it hits $185 or $190... which is a distinct possibility the way things are looking. The market these days is even less rational than usual. There must be massive short activity to keep AAPL as depressed as it is now.



    Yes something is keeping AAPL down seems to have been going on a long time ... I assume if they stopped shorting it would rocket up?



    Off topic - but re your sig, Maggie was a centrist. By Tea Party standards she'd be a communist lol. I worked part time for one of her campaigns. She was a tough lady
  • Reply 10 of 57
    justbobfjustbobf Posts: 261member
    Yes, but look at 2008. When the entire stock market heads south, so does Apple.
  • Reply 11 of 57
    monstrositymonstrosity Posts: 2,163member
    Quote:
    Originally Posted by digitalclips View Post


    Maggie was a centrist. By Tea Party standards she'd be a communist lol. I worked part time for one of her campaigns. She was a tough lady



    Maggie is a legend. Unlike most in my country, I have utmost respect for her.
  • Reply 12 of 57
    Apple will never release an all-in-one tv. Never.
  • Reply 13 of 57
    joe hsjoe hs Posts: 488member
    Quote:
    Originally Posted by darthnicklas View Post


    Apple will never release a all-in-one tv. Never.



    iMac in front of couch. Boom!
  • Reply 14 of 57
    Quote:
    Originally Posted by darthnicklas View Post


    Apple will never release a all-in-one tv. Never.



    Your post is utterly unspecific. Why could you be so shure? Apple did a lot off stuff, most people found even more unlikely than an all-in-one TV in 1 - 3 years
  • Reply 15 of 57
    dr millmossdr millmoss Posts: 5,403member
    Quote:
    Originally Posted by darthnicklas View Post


    Apple will never release a all-in-one tv. Never.



    You mean never AGAIN?



  • Reply 16 of 57
    bagmanbagman Posts: 349member
    Quote:
    Originally Posted by darthnicklas View Post


    Apple will never release a all-in-one tv. Never.



    I completely disagree. Eventually, the TV as we know it will morph into an all in one screen (or hologram) that incorporates media streamed via whatever form the internet takes at that time - wirelessly, or satellite, whatever...at that time, when everything switches over, why not an Apple "Appliance", which won't be called a TV as we know it, but Apple prides itself in making just such game-changers, and branding it with the Apple logo. If the stranglehold that exists today was ever able to be dissolved, and a worldwide standard for media presentation were to be implemented (however unlikely it is for the foreseeable future), why not? - I believe it is inevitable. So, never say never - please.
  • Reply 17 of 57
    sockrolidsockrolid Posts: 2,786member
    I don't know why, but AAPL always seems to dip 5% - 10% a few days before every Apple media event. I seem to recall that it dropped sharply for absolutely no reason just before Apple's earnings announcement in January. There was no bad Apple news, no natural disaster, and no unusually bad economic news. Apple announced great number, and the stock bounced back up in the following days.



    Smells like some kind of collusion between a major Apple shareholder and someone who has a short position on AAPL. As in "Hey, I'm shorting Apple on January 22. If you sell all your stock, it'll drop the value of AAPL and I'll give you 20% of my profits." Followed by "OK, we'll sell X million shares, on Friday January 22 at 08:00, and you give us 40% of your profits. We'll take payment in bearer bonds, for the sake of anonymity. Oh, and if you don't take our offer, we'll buy Y million shares on the 21st to boost AAPL. Take it or leave it..."



    So the massive seller profits in three ways. First, they take the straight profit when they sell AAPL (since they presumably bought it at a lower price." Second, they take the cut of the profits made by the guy with the short position. Third, they can buy back their shares, plus more, at the lower price.



    Here's Fortune's take: http://tech.fortune.cnn.com/2010/01/...points-friday/
  • Reply 18 of 57
    gqbgqb Posts: 1,934member
    Quote:
    Originally Posted by FineTunes View Post


    Then should I buy AAPL now?



    Yes... as much as possible.



    <signed, An Existing AAPL owner who will benefit greatly by others' purchases.>

  • Reply 19 of 57
    str1f3str1f3 Posts: 573member
    Quote:
    Originally Posted by SockRolid View Post


    I don't know why, but AAPL always seems to dip 5% - 10% a few days before every Apple media event. I seem to recall that it dropped sharply for absolutely no reason just before Apple's earnings announcement in January. There was no bad Apple news, no natural disaster, and no unusually bad economic news. Apple announced great number, and the stock bounced back up in the following days.



    Smells like some kind of collusion between a major Apple shareholder and someone who has a short position on AAPL. As in "Hey, I'm shorting Apple on January 22. If you sell all your stock, it'll drop the value of AAPL and I'll give you 20% of my profits." Followed by "OK, we'll sell X million shares, on Friday January 22 at 08:00, and you give us 40% of your profits. We'll take payment in bearer bonds, for the sake of anonymity. Oh, and if you don't take our offer, we'll buy Y million shares on the 21st to boost AAPL. Take it or leave it..."



    So the massive seller profits in three ways. First, they take the straight profit when they sell AAPL (since they presumably bought it at a lower price." Second, they take the cut of the profits made by the guy with the short position. Third, they can buy back their shares, plus more, at the lower price.



    Here's Fortune's take: http://tech.fortune.cnn.com/2010/01/...points-friday/



    At this point any Apple news is negative. To investors everything is perfect right now until you hear a new event coming. No matter how positive it will be. Insure the guy who makes 100 po sts per day will tell you the same.
  • Reply 20 of 57
    poochpooch Posts: 768member
    Quote:
    Originally Posted by monstrosity View Post


    I'm inclined to agree. I don't trust the markets one bit right now, even though Apple are currently cookin on gas.



    agreed.



    and considering aapl has dropped from 270 to 240 overt the past eight weeks, saying that the price will rally is kind of safe bet.
Sign In or Register to comment.