Credit Suisse Bumps AAPL Target to $300 Ahead of iPad Launch

| Apple Stock Watch

Credit Suisse analyst Bill Shoppe has raised his target price for Apple’s stock from US$275 to $300 on expectations that the iPad launch on April 3 will be a strong success, and that the company will also report a strong quarter ahead of iPhone sales, according to Yahoo! Finance.

“To put this in perspective, the March quarter typically represents Apple’s seasonal nadir, and our estimates would imply the March quarter of 2010 would be the second strongest quarter in company history,” Mr. Shoppe said.

Apple began taking pre-orders and reservations for the iPad on March 12, and will begin delivering the multimedia tablet on April 3. Some iPad pre-order customers have been reporting that they are already seeing preauthorization holds on their credit cards. Some buys have said via Twitter that their credit cards have been charged for their iPad purchases, too.

Mr. Shoppe also raised his earning estimates for the quarter that runs through the end of March from $2.27 up to $2.75 a share, and his revenue estimates are up from $11.45 billion to $12.26 billion.

Apple is currently trading at $231.04, up 4.39 (1.94%).

Comments

Constable Odo

Sweet.  I just hope the iPad is a success to shut up the naysayers.  With the mobile ecosystem that Apple has in place, backed with retail sales and good customer support, I really can’t imagine the iPad being a failure.

Lee Dronick

I am with Constable Odo on this, I think the iPad will do well. My existing iTunes library will work on it, photos too, ebooks, periodicals, research/text books, and games. Some content creation, or at least editing, using the iWork modules. I am anxious to get one.

Tiger

Well, since Apple bumped up their target sales estimates above 8 million for this year, they must expect they will sell them. That’s a LOT more cash for them to have on hand.

Bosco (Brad Hutchings)

The influencial naysayers may come from content production. You can read about how the content business is reacting to Apple here. They have a lot more leverage than the music business did when iTunes Store popped up. While there are pubs like the WSJ that are clearly out to kick Steve Jobs in the nuts at this point, there are a whole bunch who will gladly help out as they get the chance. There is a theme for a best selling iPad game (on Cydia of course) in this emerging story.

The Flash jihad will not end well for Steve Jobs. It goes to the heart of existing assets, production process, and advertising for publishers. Apple simply does not have a tools chain like Adobe has to transition that away from Flash. The iPad as form factor has plenty of promise. The iPad as Apple controlled system is destined to fill the super high end 10” digital photo frame niche.

don5404

Look for another stock jump when the I7 Intel chip comes out in the Macbook Pros.
And another if non-glare option is made available on all Macs, including the IMAC.

don5404

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