Market Update: Apple Inc (NASDAQ:AAPL) – Apple: Look to the ‘SE’ Amidst Soggy Jabil Outlook, Says Street
June 16, 2016 at 11:21 AM EDT
[at Barrons.com] – Shares of Apple (AAPL) are down 75 cents, or 0.7%, at $96.39, after contract manufacturer Jabil Circuit (JBL), which counts Apple as a big customer, yesterday afternoon offered a lower-than-expected fiscal Q4 forecast, another disappointment following its forecast in March. Jabil shares are up 7 cents, or 0.4%, at $18.50, rebounding from after-hours losses last night. Cowen & Co.’s Timothy Arcuri, who has an Outperform rating on Apple shares, and a $125 price target, writes that there’s not much new here, it’s all pretty much in line with his existing expectations for Apple: JBL’s MayQ implied AAPL results make sense to us on a Q/Q basis in the context of our estimate for CQ2 iPhone units (-22% Q/Q). Read more on this. Apple Inc. (AAPL) , valued at $533.36B, opened at $96.45. Shares have traded today between $96.07 and $97.53 per share with the price of the stock fluctuating between $89.47 to $132.97 over the last 52 weeks. AAPL shares are currently priced at 11.73x this year’s forecasted earnings, which makes them relatively inexpensive compared to the industry’s 14.81x earnings multiple for the same period. And for passive income investors, the company pays shareholders $2.28 per share annually in dividends, yielding 2.34%. According to a consensus of 37 analysts, the earnings estimate of $1.39 per share would be $0.46 worse than the year-ago quarter and a $0.38 sequential decrease. In looking at the bigger picture, the full-year EPS estimate of $8.28 would be a $0.94 setback when compared to the previous year’s annual results. The quarterly earnings estimate is based on a consensus revenue forecast of the current quarter of $42.42 Billion. If realized, that would be a 14.48% decrease over the year-ago quarter. Recently, Needham Initiated AAPL at Strong Buy (Apr 6, 2016). Previously, Cowen upgraded AAPL from Market Perform to Outperform. The average price target for AAPL shares is $124.93, which is 29.53% above where the stock opened this morning. See more in (NASDAQ:AAPL) Similar Articles: Stock Update (NASDAQ:AAPL): Apple Investors: Watch Jabil Circuit’s Earnings Report Stock Update: Apple Inc (NASDAQ:AAPL) – Will Qualcomm Lose Out on Apple’s iPhone? (QCOM, AAPL) Market Update: Apple Inc (NASDAQ:AAPL) – Will 2016 Be the Year Apple Music Takes Off?
