Barclay's Capital analyst Ben Reitzes raised his price target on AAPL Wednesday, following Apple's upbeat earnings report for the June quarter. In a research note with the subtitle of "Margins Continue to Surprise," Mr. Reitzes said that the company's "unique" business model was vindicated by Apple's continued financial performance.

In the research note obtained by The Mac Observer, Mr. Reitzes wrote, "We believe the 3Q09 report was very strong with solid demand for AAPL products combined with solid execution."

"Most importantly," he added, "Apple continues to demonstrate how its unique business model can deliver industry-high margins over the short & long-term. We look forward to more new products this quarter."

Many analysts have criticized or worried about Apple's (perceived) lack of netbook strategy, and its model of offering high end machines in an era where PC makers were all racing to the bottom.

In this research note, however, Mr. Reitzes recognized that a record June quarter for Mac sales of 2.6 million units sold amidst an economic downturn -- when the rest of the PC market saw declining unit sales -- is an indication that Apple may be on to something with its business model

Mr. Reitzes raised his price target on the stock from $173 per share to $188 per share, and reiterated his "Overweight" rating on the stock. The increase is based on him having raised EPS estimates for the September quarter to $1.30 from $1.28, and for fiscal 2010 from $6.28 to $6.75.

His rating on the sector continues to be a "Neutral."

*In the interest of full disclosure, the author holds a small share in AAPL stock that was not an influence in the creation of this article.