Analyst: AAPL Q4 Guidance Uncharacteristically High

| Apple Stock Watch

Apple’s third quarter earnings report broke company records yet again, and it’s fourth quarter guidance beat analyst estimates by a long shot. The Mac and iPhone maker advised analysts during its Q3 earnings conference call that it is projecting US$18 billion in revenue for Q4, coming in $1 billion higher than Wall Street estimates, according to UBS analyst Maynard Um.

“Guidance was much stronger than expected as the revenue outlook of about $18 billion was uncharacteristically higher than Street estimates,” Mr. um said. “We believe Apple typically guides to a conservatively achievable target, making guidance all the more impressive.”

Apple also beat analyst estimates for its third quarter, too. The company reported $15.7 billion in revenue for the quarter with earnings of $3.25 billion and earnings per share of $3.51. Apple sold sold some 3.47 million Macs during the quarter, along with 8.4 million iPhones, 9.41 million iPods, and 3.27 million iPads.

“Apple reported EPS of $3.51, well ahead of our $3.01 estimate and the Street’s $3.11,” Mr. Um added.

Looking forward, Mr. Um is raising his fiscal 2010 revenue estimate from $60.373 billion up to $63.2 billion, and his EPS estimate is up from $13.55 billion to $14.5 billion. For fiscal 2011, Mr. Um is modeling $73.2 billion in revenue with $16.62 EPS.

Mr. Um is maintaining his “Buy” rating and $340 target price for Apple’s stock. Apple is currently trading in the pre-market at $263.27, up 11.38 (4.52%).

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Comments

Tiger

Can’t win for losing. Criticized for ultra low guidance for years, now “presumed” to be guiding high. Shouldn’t the pattern tell analysts something? What is going to be introduced this year that can add that much revenue???? Something big is coming.

Ion_Quest

Apple will switch processors twice within 5 years.  OOPS.  It already has…

Tiger

And HP switches processors all the time. Tried keeping up with their line lately? I think their engineering team is ADD!

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