Apple Stock Reaches All Time High/Quarter Sales Revealed
04.26.07 - 09:54am
Apple stock rose to an all time high finally surpassing the $100 mark reaching 102.40 in after hours trading after Apple announced yesterday that their net income soared 88 percent for the last quarter which ended March 31st.
The rise in profits was due to a cut in component costs that overcame the usual post holiday slump. The news combined with the anticipation of the iPhone has bolstered Apple once again.
In total Apple sold 10.5 million iPods and 1.52 million Macintosh computers were sold with a total of $5.26 billion in sales, an increase of 21 percent. The iPod and related accessories accounted for 44 percent of the quarters total revenue overall.
In total earnings for the quarter were at 87 cents a share, which proved higher than the average analyst expectations who were looking for earnings of 64 cents per share, according to a poll by Thomson Financial.
“We are very pleased to report the most profitable March quarter in Apple’s history,” said Peter Oppenheimer, Apple’s chief financial officer.
The extreme rise in stock has some analysts such as Richard Gardner of Citigroup stepping back and putting a hold rating on Apple saying that the iPhone is already reflected in stock price, while other such as Chris Whitmore of Deutsche Bank are lifting their target prices. Whitmore raised his from $130 to $140 saying “”We believe Apple’s share price will be supported by continued strong customer uptake of iPods, iPhones and new Mac product roll-outs.”
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