A US trade agency banned import of cellphones with advanced Qualcomm chips.
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For example, the ban may prevent phone makers from importing advanced new phone models in time to compete with the iPhone, Apple Inc.'s (NasdaqGS:AAPL - News) widely anticipated first mobile phone, expected to go on sale at AT&T Inc. (NYSE:T - News) on June 29.
http://biz.yahoo.com/rb/070607/qualcomm_broadcom.html?.v=6From a stock analyst on the iPhone:
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Piper Jaffray analyst Gene Munster now predicts the company will sell 45 million iPhones in 2009, raising his price target on the stock to $160 per share. The analyst notes that the iPhone will get music player (iPod) customers as well as mobile phone customers to buy the new product and ensure strong sales (the iPhone is an all in one digital music player, web browser and cell phone). His rationale is that with Apple on track to sell 100 million iPods this year, it would be reasonable to believe that 15% of iPod users would want to upgrade to the iPhone by 2009. Coupled with new iPhone sales, he expects Apple's share would be 7% of the U.S. mobile phone market and 2.8% of the world's handset market in a few years.
UBS also boosted its share-price forecast for Apple to $160 today citing an increase in free cash flow. But analyst Ben Reitzes was a little bit more tempered with his iPhone estimates, projecting 850,000 iPhones to ship in 2007 and 7.4 million the next year, surprisingly below the company's forecast of selling about 10 million units.
But the bold prediction Munster and a few other analysts are making may not be as far of a reach once the buzz translates into sales. Thus, the numbers will fluctuate and analysts will probably adjust their numbers again once the iPhone begins to sell. That's why it is important to consider a long term outlook with a growth stock like Apple.
Jim Cramer put it best when he told viewers on CNBC television last night that Apple is one of the four "horsemen of tech" that investors can bank on to drive this market. While there might be a bit of a pullback as the enthusiasm tempers once the iPhone is officially launched, Cramer says Apple is "an inspirational brand" which means "the sky's the limit for the stock." Colorful commentary, but you're probably best suited following a buy and hold strategy with a company that delivers on its promises.
