Apple price target: $950 per share

“Today I am updating my 12-month Apple price target to $950 per share. This price target represents an expected share price appreciation of 52.8% from Apple’s closing price of $621.70 on August 10th, 2012,” Robert Paul Leitao, the founder of the Braeburn Group and author of the Posts At Eventide, writes for Seeking Alpha. “I expect share price appreciation, on average, to trail behind the rate of earnings per share growth over the next 12 months as Apple’s massive market cap influences the share price performance and as the company’s price-earnings multiple continues to contract.”

“Over the next twelve months, I anticipate reported revenue growth of roughly 50%, corresponding earnings per share growth of about 60% and the aforementioned 52.8% rise in the share price value,” Leitao writes. “I anticipate 12 months from today a price-earnings multiple of 14 times trailing 12-month earnings, suggesting a slight compression in the multiple from today’s valuation of 14.61 times trailing 12-month earnings of $42.55 per share. For the four fiscal quarters ending June 29, 2013, I expect trailing 12-month earnings of about $68 per share.”

Read more in the full article here.

38 Comments

  1. Right now should be around $700. I would expect $950 – $1000 by Feb. 2013 in an ideal world where people weren’t trying to to artificially lower Apple stock. But that’s not likely…

    1. But we live in the real world. So let’s deal with what we have on the table. AAPL is not manipulated any more than any other stock. No more no less. It just seems that way because you follow AAPL. It’s the stock market, it has its ups it has its downs. Sure people try to manipulate the stock, manipulation is part of business. Never venture into the stock market unless you understand these basic principles. I think your projected stock price may be a little high but I’m with you, I think Apple will run up nicely between now and February. I’m pretty well-positioned with options but will be adding more if the stock price drops any in the near future. I set myself up pretty good in the last 2 to 3 weeks because I really don’t see the stock-price dipping between now and January. But if it does I will certainly take advantage of it. I hope everyone has shearers or calls by now because things are about to heat up. It’s not too late yet. Buy yourself some long-term calls Monday. Much more money to be made with calls than trying to buy the stock. But whatever you buy, get it now. There is an incredible amount of money to be made in the next five months. Don’t be left out! I am a long AAPL!!!

      1. But we live in the real world. So let’s deal with what we have on the table. AAPL is not manipulated any more than any other stock.

        Total rubbish. Apple is specifically the target of manipulation because it is THE technology company that has thrived during our ongoing worldwide economic depression, AND it is the most valuable company in the world. HUGE blundering comment on your part.

        We also have statements from stock manipulators verifying that Apple has been their prime target for manipulation, going back YEARS now.

        I personally have watched APPL lead the stock market in stock index values over the past year. Why haven’t you? Is it because you deliberated do NOT follow AAPL day be day? You’re clearly blind to that ‘reality’ you’re scolding us to live in. Very naughty. 😕

        1. No, it’s your technology stock. For me and millions of others, it’s an investment. Never fall in love with a stock. I love their products and own and use all. Professionally too I might add. So I’m not some novice user and fan boy like you. I’m also not some amateur investor like you. “We also have statements from stock manipulators”? Who the hell are you trying to impress? What? Do you live in some fantasy world? Jeez,I think the rest of us have watched AAPL lead the stock market for more than the last year also. Again, who the fuck do you think you are? I have been investing probably longer than you have been alive. And yes I follow Apple every day. It’s 2:08 AM PST, AAPL is down $.70 overnight. The market opens in four hours and 22 minutes dumbass. If I didn’t follow AAPL and the market I’d be sleeping. But I like to check during the night to see how the morning is going to shape up. You should leave the commenting to the grown-ups. Go back down in the basement and play with your little buddies. Because you clearly don’t know shit.

          1. I “the fuck” research information all day. You “the fuck” attempt to impress people with your shear POWER to shove your uninformed opinion down people’s throats. Sorry. I don’t have any interest in your “the fuck” loud and lousy opinion. Bye-bye.

          2. You don’t sound very mature, or wise. You are too emotional for the markets. I suspect your returns are average at best.

            Watching a stock at 2:08am? Really?

            Long AAPL since 1999. :o)

    2. “Manipulation” works in both directions. There is no profit in just manipulating a stock DOWN. It also needs to be manipulated UP, so that profit can be taken. That means AAPL has near-term higher highs and lower lows, but the AVERAGE price for AAPL (such as a 90-day moving average) will continue on a more-or-less stead trend. And I expect that trend to be generally upward for many years to come.

      So, for the long-tern AAPL investor, any manipulation that is going on really does not matter. In fact, it may be advantageous, because any additional investments can be made at a lower (than average) price. And if profit is take on some shares, they can be sold at a higher (than average) price.

        1. “Pushing” is not necessary in either direction. But if there manipulation downward, you know there is also manipulation upward. It’s just as easy to publish a positive analysis or a negative analysis. The positive ones are usually not annoying, because we tend to agree and say “well, duh…” The negative ones are annoying, so we tend to take more notice.

          Are you seriously saying that there is never any concerted effort to move AAPL price upward?

          1. Wow ken1w ! Finally someone else on this site that understands that the whole world is not picking on AAPL. Well said. Very well stated. Very non-fanboy like. Honesty is generally met with anger here. You will probably be called a troll. Just remember that probably 80% of the people who post are still teenagers. Not that that is any excuse.

            1. A person can be an “Apple fanboy” and still have a brain. I don’t know why you are getting so defensive, Weekend – no one appears to be attacking your post. There’s no need to make up numbers such as “80% of the people who post are still teenagers.” Basis for that statement? Thought so…

              This thread seems to be in general agreement – with options, profits on stocks are made from price volatility. With puts and calls you can gain on the downside and on the upside. That’s not news (or should not be news, anyway) to anyone investing in the stock market. Options can also be used to control investment risk – a less speculative and more traditional use of options. Apple is undervalued in terms of PEG relative to many stocks for several reasons, not the least of which is emotion. About the only way to know which way the market will go is to look into the past and then retroactively invest using a time machine. With specific stocks, an informed investor can make an educated guess. But there will still be unexpected ups and downs for a variety of reasons, including rumor, wild speculation, and manipulation.

            2. “A person can be an “Apple fanboy” and still have a brain.”

              Not if you believe this definition:

              Fanboy:
              Someone who is hopelessly devoted to something and will like anything associated with thier particular thing.

              This implies that they are not using their brain.

            3. Actually I was complimenting ken1w not defending myself. Read it again. So I’m not quite sure why you would bother to comment? As for the 80% you’re probably right, It’s probably more like 95%. Never would’ve guessed you’re a fanboy! But you do have a brain, you do understand or at least respect intelligent comment on investing.

            4. How I feel about Apple the company and AAPL the stock are different. Apple is a great company. But that does not translate to AAPL being a great investment. There may come a time when Apple (the company) is still a great company, but AAPL (the stock) is not a great investment…

              People, even “fanboys,” should keep that distinction in mind. 🙂

          2. Yes I am, Apple is seriously undervalued no upward push is necessary. Just push down and wait for it to pop back up. I mean come on (look at the P/E) considering it is the market leader, and yet is growing by leaps and bounds. It is the best of both worlds, A huge multinational that has sourcing and stability and yet has the growth profile (and that is not an anomaly, has been doing that for YEARS) of a young start up.

            But also you first premise is flawed, yes pushing is necessary (also illegal) if you are going to (consistently) make money in the shorts market (or day trading)

            1. So, if you believe there is never any effort to push AAPL’s price upward, what do you call an analyst predicting $950 within the next 12 months?

              Basically, if the “analysis” is positive, you think of it as “fact.” If it is negative, the it obviously “manipulation.”

              There is a difference between something that is “necessary” and something that actually exists. These people are not stupid. It’s obvious that upward manipulation exists, even if it may not be “necessary.” You just don’t see it as “manipulation” if it is upward, because you agree (in this case) that Apple will be at $950 within 12 months.

    3. Why should it be at $700 ? Are you willing to pay that for it? I thought so. The price is where it is because nobody is willing to pay for it at that price. I will gladly sell you a thousand shares at $700.

      1. Could you explain why someone would be willing to pay $650 for Google and not $650 for Apple. Google doesn’t seem that spectacular a stock to be worth more than Apple. Or why should Apple have a lower P/E than Microsoft? Is Microsoft really seen as a more valuable stock worth paying for than Apple? Microsoft’s growth is practically tapped out whereas, in theory, Apple has plenty of room to grow.

        If I can’t say Apple’s shares are manipulated, then why don’t many of the rules of valuation balance out for similar companies.

        Why does a company like Amazon thrive despite breaking practically every sensible valuation rule there is? A P/E of nearly 290 is absurd by most standards but yet there it is. Why would investors pay almost 290X for $1 of value and not pay 14.x times for $1 of value of Apple? So far they won’t but it still doesn’t make sense to me and I’m sure most would have a hard time explaining it.

  2. I, Philo T. Farnsworth, founder and sole member of the Farnsworth Group and Screendoor Company, do solemly swear and affirm Apple stock will be priced somewhere between $80,000,000 and $1.37 a share by next week, month, year or decade, and you can take that to the bank. I am long and short on Apple and I could use a little trim behind the ears. Signed: Groucho.

  3. While we’re coining slurs:

    What do you call someone who is hopelessly allergic to something and will dislike anything associated with it?

    And what do you call the millions of female Apple fans?

    1. Apple has an IBD rating of 99 which is as high as it goes. Google has a rating of around 95. The IBD rating represents profits and sales growth. No way should Google’s share price be higher than Apple’s based on any stock metric. The stock market is truly irrational. There’s just too much market BS holding Apple’s share price down.

Reader Feedback

This site uses Akismet to reduce spam. Learn how your comment data is processed.