Morgan Keegan hikes Apple price target from $513 to $650

Morgan Keegan analysts today hiked their price target on Apple shares from $513 to to $650 after the world’s most valuable company reported mind-boggling numbers for fiscal Q1 2012.

“From a valuation perspective, we believe 15 times our calendar 2012 EPS estimate should be a reasonable valuation for Apple given what we believe should continue to be substantial double-digit EPS growth beyond 2012. This equates to a $650 price target,” Keegan analysts wrote in a note to clients.

[Thanks to MacDailyNews Reader “Investor” for the heads up.]

Related articles:
Canaccord ups Apple price target from $560 to $650 – January 25, 2012
Trying to put Apple’s mind-bending numbers into some sort of context – January 25, 2012
After Apple’s absolutely epic quarter, will the Street finally wake up? – January 25, 2012
MacDailyNews presents live notes from Apple’s Q112 Conference Call – January 24, 2012
Apple stuns Street with massive $46.33 billion record revenue; all-time record Mac, iPhone, iPad sales – January 24, 2012


  1. This is a repeat of a question that I posted on the previous article- this article came right on the heals of the last and I wanted to get some thoughts on this:

    Am3ricanJo3 says:
    Wednesday, January 25, 2012 at 9:24 am
    Something keeps nagging at me in regards to Apple’s cash- is there a fundamental that they are after that is being ignored? I mean, really. Their hoard is worth more than most countries on earth.

    Don’t get me wrong. I think it is great and it gives them the ability to be as nimble as any startup, but I would think they have something else more significant in mind than just being able to be nimble (as if that was something easy for any other behemoth like Apple to do!)

  2. He’s still doing his math wrong. Based upon Apple’s results, $50+eps is in the cards for this fiscal year. Using his multiple of 15x, gives a total of $750. Then you need to add back in the cash which is now $100 a share, and you get $850.

    1. Hey Ken. I’m having problems with the math also. If you look at a more complete view of the stock price, under key statistics, forward P/E is 11.31 for one year out. Doesnt that bring us back in around 550?

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