Apple Receives Neutral Rating from Bank of America (AAPL)
Apple (NASDAQ:AAPL)‘s stock had its “neutral” rating reiterated by Bank of America in a research note issued on Thursday, Analyst RN reports. They currently have a $615.00 price target on the stock, up from their previous price target of $590.00. Bank of America’s price objective would suggest a potential upside of 8.32% from the company’s current price.
The analysts wrote, “A significant amount of good news on F2Q14 and F3Q14 outlook, and the stock is up ~8% – iPhone units surprised, GM% beat our estimate by 144bps, buybacks increased by $30bn (with a stock split, dividend increase), and F3Q14 outlook was better than feared. That said, from a high level, how much has really changed from a fundamental revenue perspective? Apple continues to struggle with revenue growth – despite the iPhone upside, including China Mobile launch, F2Q14 sales growth was only 5% Y/Y, with F3Q14 outlook pointing to similar. “We continue to believe the stock is range bound to high-$500′s (even if slightly higher than previous; PO now $615), without growth catalysts (i.e. new product categories) and/or accelerated revenue growth, with possible trade up in C2H14. Neutral.”
Apple (NASDAQ:AAPL) traded up 8.20% during mid-day trading on Thursday, hitting $567.77. The stock had a trading volume of 27,139,726 shares. Apple has a 52 week low of $388.87 and a 52 week high of $575.14. The stock has a 50-day moving average of $532.0 and a 200-day moving average of $531.. The company has a market cap of $506.4 billion and a price-to-earnings ratio of 13.04. Apple also was the recipient of unusually large options trading activity on Thursday. Traders bought 433,270 call options on the company. This is an increase of approximately 308% compared to the typical volume of 106,240 call options.
Apple (NASDAQ:AAPL) last issued its quarterly earnings data on Wednesday, April 23rd. The company reported $11.62 EPS for the quarter, beating the Thomson Reuters consensus estimate of $10.13 by $1.49. The company had revenue of $45.65 billion for the quarter, compared to the consensus estimate of $43.55 billion. During the same quarter in the prior year, the company posted $10.09 earnings per share. The company’s quarterly revenue was up 4.7% on a year-over-year basis. On average, analysts predict that Apple will post $42.59 earnings per share for the current fiscal year.
The company also recently declared a quarterly dividend, which is scheduled for Thursday, May 15th. Stockholders of record on Monday, May 12th will be given a dividend of $3.29 per share. This represents a $13.16 dividend on an annualized basis and a yield of 2.32%. The ex-dividend date of this dividend is Thursday, May 8th. This is a boost from Apple’s previous quarterly dividend of $3.05.
A number of other firms have also recently commented on AAPL. Analysts at Cowen and Company raised their price target on shares of Apple from $590.00 to $630.00 in a research note on Thursday. They now have an “outperform” rating on the stock. Separately, analysts at Mizuho raised their price target on shares of Apple from $575.00 to $625.00 in a research note on Thursday. They now have a “buy” rating on the stock. Finally, analysts at Susquehanna reiterated a “buy” rating on shares of Apple in a research note on Monday. Two analysts have rated the stock with a sell rating, eleven have issued a hold rating, twenty-seven have given a buy rating and one has issued a strong buy rating to the stock. Apple has a consensus rating of “Buy” and a consensus price target of $612.65.
Apple Inc (NASDAQ:AAPL) designs, manufactures and markets mobile communication and media devices, personal computers, and portable digital music players, and a variety of related software, services, peripherals, networking solutions, and third-party digital content and applications.
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