Apple introduced new MacBook and MacBook Pro computers on Tuesday, which was big news for the company and consumers. The bigger news, according to UBS analyst Maynard Um, was the announcement that the entry level MacBook finally dropped below the US$1,000 to sell at $999.
"We attended the Apple notebook event, in which the company lowered the entry price of the MacBook to $999 from $1,099, which we view as the most significant announcement," Mr. Um said. "The entry point represents Appleis first sub-$1,000 notebook, which could be a key psychological threshold."
Apple introduced new aluminum MacBook models at the event, but will continue offering a plastic body version at the $999 price point.
The Cupertino-based company also showed off a redesigned MacBook Pro with a glass display and trackpad, along with a new 24-inch LED backlit Cinema Display designed just for the new laptop lineup.
Looking forward, Mr. Um expects Apple will report revenue at $8.1 billion with an EPS at $1.11 during its fourth quarter conference call on October 21.
Mr. Um is maintaining his Buy rating and $125 target price for Appleis stock. Apple is currently trading in the pre-market at $105.10, up 1.02 (.98%).<!--#include virtual="/includes/newsite/series/stockwatch.shtml"-->