Cowen & Co. reiterates ‘outperform’ on Apple stock, sees iPad upside

“Cowen & Co.’s Matthew Hoffman today reiterates an Outperform rating on the shares, arguing results can be slightly better this quarter than expected, in part because iPad trends seem positive,” Tiernan Ray reports for Barron’s.

“Hoffman is modeling $40.6 billion in revenue for the June quarter, and EPS of $10.03, above the consensus of $39.38 billion and $9.28. He expects sales of 21.7 million iPads and 31 million iPhone units,” Ray reports. “Hoffman offers data from a survey his firm commissioned of U.S. household attitudes toward the iPad, with 1,079 respondents, last month, which showed 40% of the households responding having an iPad, 35% the normal version, 5% the mini version”

Ray reports, “Almost a third, 27%, said they intended to buy the regular iPad, 14% the iPad mini. The third most-discussed device was Samsung Electronics‘s ‘Galaxy Tab’ line of tablets, with Amazon.com‘s ‘Kindle Fire’ in fourth place.”

Read more in the full article here.

MacDailyNews Take: “Hey, look at me, I bought a Samsung tablet! It was either that or tattoo ‘CLUELESS’ on my forehead.”

5 Comments

  1. Outperform and today it is parked at $422. Exactly what magic turn in the world economy or earth shattering product does Cowen see changing things in the near to intermediate term? Not speculative nonsense- real product.

    1. I don’t think upgrades really ever move Apple’s share price upward. In fact, I’m not sure anything will do that short of selling huge numbers of iPhones or greatly increasing smartphone market share. There’s really no other product Apple has, as far as revenue is concerned, that’s even close to the iPhone. Apple seems to be fighting against the current while most companies are just riding with the current. I’m scared to say this, but $422 could be looking good after this quarters’ numbers are announced next quarters’ guidance is even more conservative. It’s really frightening how such a profitable company can’t return any of it to shareholders.

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