Apple Inc (AAPL)

[fmikehugo]

07:43 AAPL Apple Computer estimates trimmed at BofA (74.29 ) -Update-

Banc of America says they are cautious on AAPL into the qtr; firm maintains their Q4 (Sept) est, but trims their Q1 and Q2 ests by a penny each. Firm cites a 50bp cut overall in their gross margin est, as they don't believe that component cost and mix can offset recent price cuts.

Net, firm believes that the stock will trade weak in the near-term on conservative guidance (firm estimates $6.0 bln in revs and $0.70 in EPS, vs Street of $6.4 bln and $0.77), and some level of disappointment in gross margins. Firm would be more aggressive after the qtr, with potential product announcements looming of iPod video, phones, iTV, an Apple TV, and Leopard. Maintains Buy.