“Jefferies on Wednesday raised its price target on Apple Inc. shares to $130 from $124 and said it expects iPhone demand in China to drive a 10% per-share earnings beat in the second fiscal quarter,” Ciara Linnane reports for MarketWatch.
“The brokerage is expecting Apple to use its cash flow to raise dividends by 5% to 10% and to enact share buybacks that will reduce sharecount by 5%,” Linnane reports. “However, Jefferies is expecting iPhone sales growth to decelerate starting in the third fiscal quarter, mostly due to increased competition from Samsung’s Galaxy Note 4/Edge and S6/Edge.”
Read more in the full article here.
MacDailyNews Take: Jeffries neglects to factor in Apple Watch and Apple Pay – with both of which Samsung’s iPhone knockoffs are wholly incompatible.
This stuff all works together, guys and gals. It’s not that difficult: Multiple things sell multiple other things. Synergy. The sum is greater than the parts.
The analyses of analysts who can’t see the forest for the trees are very likely to fail the test of time.