March 12 - Jefferies' equity analyst Peter Misek cuts Apple price target to $420. Bobbi Rebell reports.
The Daily Digit is $420. That's the newest Apple price target from Jefferies' equity analyst Peter Misek And he's been chopping it for a while now. Just last summer, Misek targeted $900 for Apple, then he lowered his expectations to $500. Now it's even less. The reasons? Many. Misek, who has a 4 out of 5 star rating on Starmine says Apple is buried in inventory, burdened by slowing sales and, consequently, it will have smaller revenues. He doesn't have high hopes for iPhone 5S and the low-cost version of the smartphone. Delays- possibly to the fall- are expected because of supplier issues with new casing colors. Misek also warns, he expects the "low-cost" iPhone will actually be quite expensive. And when the iPhone 5S and iPhone 6,- do come out- Misek says they may not be enough to fire up sales, even with the new, sophisticated fingerprint technology. Another problem is the iPad, which is supposed to be getting a refresh with new, lighter display to reboot sales, but Misek expects its release will most likely be delayed too. Adding to the Apple bruising- a separate report from International Data Corp., which says shipments of Apple's iPads will lose market share and fall behind the growing variety of tablets running Google's Android platform for the first time this year as smaller-sized devices catch on with more consumers. The real punch to Apple: Misek links it with companies like Motorola, BlackBerry and HTC, which were once cool, like Apple still is, but later fell out of favor, tumbling "faster and further than expected."