Piper Jaffray’s Munster: Recent Apple sell-off provides an opportunity for investors

“Piper Jaffray senior research analyst Gene Munster said that the recent sell-off of shares of Apple Computer provides an opportunity to investors during a perceived growth trough. The analyst credited the sell-off of more than 20% over the past three weeks to the perception of investors that the company faces “potential for an air pocket in growth” over the next two quarters resulting from the transition to Intel processors,” Kate DuBose Tomassi reports for Forbes. “The analyst said a lack of readiness from major software vendors such as Quark, Microsoft, and Adobe Systems only compounds the uncertainty factor.”

“However, the analyst said, Apple has multiple means for growth due to multiple initiatives the company has undertaken,” Tomassi reports. “The analyst maintained a rating of ‘outperform’ on Apple shares. ‘To look at a potential short-term trough in these curves and extrapolate the business based on this period is short-sighted in our minds,’ Munster said. The analyst’s price target on Apple is $103.”

Full article here.

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Related articles:
Many worries and concerns lead to Apple selloff – February 06, 2006
Analyst: Wall Street’s worries of slowing Apple Intel-based Mac demand are ‘absurd’ – February 06, 2006
Apple Computer shares fall to lowest level in over two months on growth concerns – February 06, 2006
Apple Computer shares drop over 5-percent in NASDAQ trading – February 06, 2006
Adobe: no native Intel Mac support until 2007; Photoshop could be 14 months away – February 01, 2006


  1. As long as they say ” it is a buying oppurtunity” DO NOT BUY IT

    ( it usually means alot of non-royal investors are in the stock
    and they are only in it to get rid of it soon )

    They have been saying this since the stock fell to $78 from $85

  2. Sorry, Sumer, you are an idiot. You left out the part about paying taxes and commissions on such a silly suggestion, nearly wiping out your profit.

    Munster is not covering his ass at all here. PJ has been consistent and very analytical in their approach to Apple. They are one of the few analysts who actually seem to “get” AAPL and Apple. Here is someone cogently explaining why he is telling his customers to stay with AAPL, not someone explaining away bad advice.

    The stock is a buy opportunity anywhere in its current range, especially if one is a long-haul investor, or an options player. The stock market is no place for panty-waists like you and Stockboy anyway.

  3. The fact that stock fell under $70 will get attention of many investors who were in it for the long term, and when you drive such attention to a stock, it is likely go deeper deeper down. When a stock falls under a $80 or $75, or $70 there are additional preasures on it, its not just negative news.. So if it gets to close to $65 expect it to go below $64 as well.

  4. It seems to have stabilized today. Well see if it creates a base here. If so, then it very well may be a buying op.

    But I wouldn’t buy until the stock stops it’s fall.

  5. JFK’s Head – regarding your 2 cents comment. You got it wrong.
    I am guessing that MDN owns NO stock in any company and has not a clue about investing in the stock market and therefore should not be giving advice on Apple or any stock.
    MDN keeps screaming “buy now!” but I really doubt they put their money where their mouth is – just Mac fanboys rah-rah-rahing like airheaded cheerleaders.
    Yesterday Apple was at a low – MDN was calling it a buying opportunity – did they buy?

  6. Stockboy — Got it. Bygones.

    But isn’t it true that AAPL seems headed for a probably-temporary support price in the mid-$60’s?

    I think so. Hence, a buying opportunity. Plus, I also saw MDN mostly writing the stock-buying comments as questions. As in, “Is this a buying opportunity?”

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