Market Preview: No QE3, No Problem?
"Despite the law of large numbers, we believe the opportunity in mobile devices (iPhone and iPad) are big enough for Apple will grow earnings by 20%-plus over the next three years, while our price target is based on a 12x earnings multiple," he wrote. "The bottom line, while it seems virtually every investor (professional and retail) and analyst has something positive to say about Apple, the multiple on shares does not suggest there is excessive investor exuberance."
Check out TheStreet's quote page for Apple for year-to-date share performance, analyst ratings, earnings estimates and much more.
The company, which cited weaker demand and pricing, now sees revenue of roughly $1.2 billion vs. a prior projection for a range of $1.30 billion to $1.35 billion. The current average estimate of analysts polled by Thomson Reuters is for revenue of $1.34 billion in the quarter. SanDisk didn't provide a specific guidance for gross margin other than to say it expects to come in below a previous forecast of 39-42%. Wall Street's consensus view sits at 41.8%.
The stock was last quoted at $46.40, down 7.3%, on volume of more than 640,000, according to Nasdaq.com.
--Written by Michael Baron in New York.
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