Apple Inc (AAPL)

[fmikehugo]

08:49 AAPL Apple Computer: iTunes store concerns overdone - Amtech (89.05 )


Amtech notes that recently there has been concern about declining iTunes store sales and the negative impact on AAPL. Firm believes that these concerns are overdone and would take advantage of these misplaced fears to add to AAPL positions.

Firm's analysis of AAPL's iTunes downloads shows strong growth through 2005 and 2006, and they have a hard time reconciling a third-party industry firm's conclusion of a decline of 65% Y/Y.

Also, firm believes that it might not even matter how iTunes sales do, meaning tracking iTunes sales might not be that conclusive in predicting iPod sales (which are what really matters). Reits Buy.