“The verdict is out on the new Apple products and the ruling from Goldman Sachs is: ‘Impressive,'” Sara Sjolin reports for MarketWatch.
“The investment bank’s analysts said in a note on Wednesday — a day after the feverishly awaited product launch — that the new devices met the already sky-high expectations, and the iPhone 6 series in particular stood out,” Sjolin reports. “‘The iPhone refresh was by far the most impactful announcement for Apple’s bottom line,’ the analysts wrote.”
“They see the stock reaching $115 within 12 months, compared with $107 expected before the launch. They also reiterated the buy rating,” Sjolin reports. “They also liked Apple Pay and the Apple watch because the devices expand Apple’s platform and further feed into the tech giant’s operating system, iOS. The analysts found the watch to be ‘surprisingly innovative,’ although they don’t expect it to be a financial game-changer for the firm. Most analysts at other investment banks also kept their buy ratings on Apple.”
Read more in the full article here.
And yesterday on CNBC, goofy Colin Gillis couldn’t dig enough disparaging nonsense out of his bag of trash. As the price of AAPL happened to be ~$98 at the time, he giggled that his price target – $98 – is where Apple will languish for the next year. The Apple watch was just so uninspiring that he didn’t see it adding anything to Apple’s bottom line. Naturally, he didn’t take any time to discuss iOS8, Yosemite, the new iPhones, Apple Pay, or anything else other than his lack of interest in the stock.
I hope you don’t watch CNBC. I wonder who pays them?
Wellll, actually I do watch the channel and realize there’s a tremendous amount of noise and little signal. Watching it makes me bang my head against the wall and then complain to my doctor I have a headache 😉
The 5:00 EST segment had the notoriously anti-Apple Melissa Lee who does everything she can to incite anti-Apple sentiment from panelists and guests – much the same as Erin Burnette used to do.
Interestingly, Cramer was ranting this morning about the Pacific Crest downgrade noting it was based on absurd irony of claimed low Apple Watch sales but predicted high Apple Watch income(?)
It’s a “live TV” method for getting some Apple information but they make you work to glean the truth.
Andy Hargreaves of Pac Crest downgraded Apple from outperform to sector perform just as he threatened he would. He said there’s nothing Apple has that will drive the share price and future iPhone sales are already priced into the current share price. In other words, Apple has nothing worthwhile to recommend it. That’s how it is. Apple pulled a zero.
I can only say that Apple doesn’t appear to impress Wall Street at all. Stocks like Microsoft, Google, Tesla and Netflix appear to be far better investments as far as Wall Street is concerned. My true feelings say Apple stock isn’t going up no matter what Apple does. Every roll of Tim Cook’s dice comes up craps. I badly want mobile payments and I’m sure a lot of people like that simplicity, but Wall Street, like Atlas, simply shrugged.
“Goofy” is being too kind to Gillis. Given how wrong he’s been time and time again about Apple, I can’t believe CNBC still brings him on to talk about the company.
I actually prefer it when analysts talk sh*t about a new Apple product, since they seem to be wrong so much…
——RM
The schadenfreude is delicious >:-)
Name me one company that wouldn’t kill to have the profit that Apple pay will generate? Apple’s is going to generate $ billions of free money.
Analysts only see hardware, they have a blind spot when it comes to software or services.
I think that history will show that Apple Pay will turn out to be the most important announcement from yesterday.
1. iPhone 6 will be the major success.
2. Apple Pay will be slow to achieve. But the technology behind it is solid. I doubt it will be dominant within 3 years, but a steady increase in usage. Early adopters of several stripes of course are first. Having big players in the game, as others have mentioned, is the beachhead.
3. Apple Watch will find its niche and market size as did iPad. Not too large, but steady.
So funny that people aren’t seeing that.
iPhones are for cChristmas quarter (+beyond).
Apple Watch is for the near future, and is setting Apple up for some amazing new opportunities in the home.
Apple Pay is for the future. It’s forever. And it’s big.
I believe anyone who’s sitting around hoping that some product that Apple comes out with is going to make a difference to Wall Street is simply wasting his or her time. I’m sure that’s not what drives share prices on Wall Street. What’s somewhat amusing is even though CEO Elon Musk came out and told investors that the share price was a bit high for Tesla, it didn’t even matter. He probably knows his company can’t generate the revenue necessary to support its share price but there were no cries of sell Tesla to be heard.
I think Apple shareholders are hoping for too much to expect a fair valuation for Apple, considering its solid fundamentals, retail stores, revenue, profits, dividends, cash hoard and customer loyalty. Apple appears to be a complete all around company but that’s not seen as good enough to even warrant its current share price and that is very odd if you stop to think about it what it takes to make a really successful company worthy of a higher valuation. It’s probably best not to think about it at all. Not even worth $100 a share. Wow!
Laughing_Boy48 what’s happened to you? You are sounding much more reasonable these days. 🙂
I don’t think Apple has ever had such a broad base from which to develop and earn. No I’m wrong I know they haven’t. The potential is amazing and even if one strand is slower than expected there are many others to rely on. Plus all promote each other and loyalty to the overall brand.