JMP Securities raises Apple to ‘outperform,’ sets price target at $200

6 Comments

Apple Store“JMP Securities analyst Sam Wilson today raised his rating on shares of Apple (AAPL) from ‘Market Perform’ to ‘Market Outperform,’ with a $200 price target,” Tiernan Ray reports for Barron’s. “He raised his revenue and earnings estimates for this year and next.”

Ray reports, “The Apple brand is untouchable and margins remain high, with “a pile of cash” that could be returned to shareholders in coming years, he writes. Wilson thinks the inclusion of a camera in the new iPod nano could drive sales of the device.”

Ray reports, “For the current fiscal Q4, Wilson sees $9.1 billion in sales and $1.35 in profit per share… For 2009, he sees $35.8 billion and $5.82… and for 2010 he sees $37.2 billion and $5.97.”

Full article here.

6 Comments

  1. > with “a pile of cash” that could be returned to shareholders in coming years

    You mean Apple is now so rich, it does not have to “shut it down” just to “give the money back to the shareholders.” ” width=”19″ height=”19″ alt=”smile” style=”border:0;” /> That would be nice. I’d go out and buy myself a new Mac and iPod.

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  2. Wilson is a hack.

    To ‘achieve’ his lofty fiscal 2009 forecast, revenue would have to decline this quarter from last quarter’s levels.

    Apple will exceed his 2010 earnings forecast this quarter, a full year ahead of his estimate.

    My estimate for fiscal 2009 earnings is $6.16.

    Reply

  3. with “a pile of cash” that could be returned to shareholders in coming years

    never gonna happen. Why would they pay a dividend if the stock stays so high without having to shell out any dividend?

    Reply

  5. Wow, if Apple gave ALL of its “money back to shareholders” (without the “shut it down” part), that would be about $40 per share. That’s $4000 for every 100 shares. It also means that almost one quarter (24%) of Apple’s stock value is purely CASH on hand.

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  6. ” It also means that almost one quarter (24%) of Apple’s stock value is purely CASH on hand.”

    Exactly, which means the enterprise is valued at a PE of 23. Historically a PE of 25 is considered the statistical AVERAGE.

    AT $173 AAPL IS CHEAP.

    Reply

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