Apple Inc (AAPL)

[roni]

RBC Capital raises estimates on Apple based on ‘massive Mac momentum,’ European iPhone success
Thursday, December 06, 2007 - 08:48 AM EST

Apple Online Store
In a note to clients yesterday, analysts at RBC Capital Markets reiterated their "outperform" rating on Apple Inc. (AAPL) shares and raised their estimates on the Cupertino California-based Mac-, iPod-, and iPhone-maker.

November data from the firm's Technology Adoption Panel point to 'massive Mac momentum' in the current holiday quarter. RBC expects 2.4 million Macs to be shipped in the holiday quarter, up 9% over last quarter's all-time Mac sales record (2.2 million units) and 47% over last year's holiday quarter. The firm expects worldwide Mac share to rise to 3.7% in calendar year 2008, up from an estimated 3.1% in calendar 2007, with Mac share of the U.S. PC market rising to 9.3% from 7.2%.

The analysts say that, based on store visits and meetings with carriers, Apple’s iPhone has been received well in Europe. Apple’s European iPhone sales are also ready to surge, with the product’s launch in other nations and the expected rollout of a next-gen 3G iPhone in "the first half of 2008," the analysts added.

EPS estimates for FY08 and FY09 have been raised from $4.80 to $4.81 and from $6.00 to $6.02, respectively. Analysts upped thier target price from $205 to $125.

RBC Capital expects Apple to sell 400,000-500,000 iPhones in Europe in Apple fiscal first quarter 2008.

Link on MacDailyNews.com