Caris ups Apple estimates, expects Q2 08 results to beat Street

Caris & Co.’s Shebly Seyrafi believes that is likely to beat expectations for the quarter, driven by strong Mac shipments and better than expected gross margins, according to a report by Barron’s.

The analyst now expects AAPL to post revenue for the fiscal second quarter of $7.04 billion, up from $6.93 billion. Seyrafi expects an EPS of $1.12, up from $1.11, and above the analysts’ consensus $1.06 with gross margins of 35%, above the guidance of 32%.

Seyrafi expects shipments of 9 million iPods, 2.14 million Macs and 2 million iPhones for the quarter (Apple’s Q2 08)

For the June quarter, he sees revenue of $7.35 billion and EPS of $1.14 which is above the Street at $7.14 billion and $1.10.

Seyrafi maintains an Above Average rating and $170 price target on the stock.

Full article here.

MacDailyNews Note: Again, the multi-billion dollar question is, of course, not by how much Apple will beat The Street this quarter, but what will Apple guide for the next quarter?

The analysts’ consensus estimates for Q2 08 are $1.06 EPS on $6.95 billion in revenue vs. Apple’s guidance of $0.94 EPS on revenue of “about $6.8 billion.”

For Q3 08, analysts expect $1.10 EPS on $7.14 billion in revenue.


  1. Who here actually owns stock in this company.

    I own 200 shares at an average of $45.

    I also gambled with 2 options contracts (Oct ’08 250 Calls) which I’m up over 30% on in 2 weeks. Should have bought more…but then again we always say that after the fact.

  2. Bought some AAPL when it was at around $80 a while back and some when it was at $128. Hoping to buy some more soon and whenever i have some cash to spare – maybe when it drops after the announcement! ” width=”19″ height=”19″ alt=”grin” style=”border:0;” />

  3. I have 225 @ an average of $72.

    Basically I’ve tried selling high and buying low but have been caught out when the stock went the wrong way after selling!

    About 5 years ago I bought the same number of shares at $19. The stock has split since then. If I had held on to that I would have increased my invesment almost 20 times and still had a boat load to buy more stock later.

    So now I’m in for the long haul. In 5 years the stock could be up past $400 or more. Apple have a ton of room to grow in both on the PC side and the phone end.

    If you have a significant amount of cash available then I would buy in when you see a good opportunity.

  4. 600 shares @ a split-adjusted basis of $4.

    3 Oct 160 calls I picked up when the stock was at ~$122.

    If you had spent $550 to buy 10 GOOG Apr $500 calls on April 17, you could have sold them the next day for $36,000. Why does time flow in only one direction?

  5. @Swing Geezer,

    I happened to do the-sell-before-earnings-anncmt routine in Jan, not because I consciously planned it but because I wanted to use the huge profits for a different project. So I sold out in the 190s in early Jan, and then bought back in at 119.50 on Mar 3. Just plain lucky on the sell.

    And in hindsight, I should’ve bought more.

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