Apple Computer has been upgraded to “overweight” by Morgan Stanley, which believes the conversion rate to Mac computers within the company’s iPod customer base is roughly double what the market expects.
Analyst Rebecca Runkle introduced a $60 price target, raised her 2005 earnings estimate to $1.31 a share from $1.07 and her 2005 revenue forecast to $16.9 billion from $13.9 billion. Apple shares rose 1.1 percent to $43.80 in morning trading.
MacDailyNews Take: It’s happening, folks. 
Related MacDailyNews articles:
‘iPod Halo Effect’ – sales of the iPod are spurring orders of other Apple products – February 24, 2005
Report: Best Buy to sell Mac mini, could accelerate ‘iPod Halo Effect’ – January 28, 2005
Apple execs now see ‘iPod Halo Effect’ clearly paying off with higher Macintosh sales – January 13, 2005
Holy Halo Effect! Analyst predicts 100 million iPod sales by 2008 – Windows to Mac switchers coming? – November 24, 2004
Analyst: iPod ‘should spur sales of iMac, this is just the beginning of a ramp for Apple’ – November 23, 2004
Survey: 13% of iPod owners have switched, plan to switch to Mac from Windows within 12 months – November 22, 2004
