In a note to clients today, BMO Capital analyst Keith Bachman raised his Earnings Per Share (EPS) estimates for Apple’s 2009 fiscal year to $6.36 from $6.21, based on increases in his estimates on Macintosh notebook sales and the average selling price of iPhone 3G.
For Apple’s third fiscal quarter, Bachman expects Apple to ship 2.4-2.5 million Macintosh units; a 39% year-over-year unit growth. Apple is set to report Q3 08 financial results on Monday, July 21, 2008 at 2pm PDT/ 5pm EDT.
“Our thesis on Apple remains that CPU and iPhone share gains will drive earnings growth and the stock higher, compared with our expectations of continued weak iPod growth,” Bachman wrote.
Apple could run out of iPhones soon after launching the updated device, Bachman warned, citing “some recent production yield issues.” However, he believes that Apple “will be able to catch up with phone demand during the quarter.”
For calendar 2009, he expects Apple CPU units to increase 26%, significantly outpacing the general PC market that expects to show just 11.5-12% growth.
Bachman reiterated his Outperform rating and $205 price target on Apple Inc. (AAPL).
[Thanks to MacDailyNews Reader “Judge Bork” for the heads up.]