Analysts Run the Apple Asylum — Tuesday’s IP Market Recap

by Kyle Woodley | April 3, 2012 5:25 pm

Analysts Run the Apple Asylum — Tuesday’s IP Market Recap

Apple (NASDAQ:AAPL[1]) gained 1.7% on a flat-to-down day for the markets as a number of analyst upgrades trumped up AAPL shares.

Topeka Capital Markets’ Brian White, in a move seemingly predicated to nip a Price Is Right $1 upgrade in the bud, set a $1,001 price target[2] on Apple for the next 12 months, becoming the first Wall Street analyst to set a four-digit target. The attention-grabbing number would represent a more than 60% gain on current prices, and would put Apple’s market cap at around $1 trillion — about 6% of U.S. GDP[3]. Not surprisingly, White gushes about Apple’s product line and growing influence across the world.

Piper Jaffray also toyed with the $1,000 mark, but thought the target was more realistic for 2014. So, for the next 12 months, the firm raised its expectations from $718 to a still immodest $910 per share. Completely outdone was JPMorgan (NYSE:JPM[4]), which raised its target to a mere $715 per share.

Also trying to hitch a ride on the Apple train Tuesday was Illumina (NASDAQ:ILMN[5]), a genomics company that recently rejected a bid from Swiss pharma giant Roche (PINK:RHHBY[6]) for $51 per share — a 15% increase on an original rejected bid made in January. The company told shareholders that “Illumina is like the Apple of the genomics business” in a recent letter[7] — and that was the case at least Tuesday, with ILMN also posting 1%-plus gains.

Despite a good March for vehicle sales in the U.S., automakers were having a rough go of things Tuesday. General Motors (NYSE:GM[8]) was down 4.6% after it reported a 12% year-over-year increase in March sales, well shy of analyst expectations for a 19% leap. Meanwhile, Ford (NYSE:F[9]) traded flat amid a slight miss of 5% growth in sales. Most of the other major carmakers were trading flat to slightly down as well.

Three Up

Three Down

Kyle Woodley[16] is the assistant editor of InvestorPlace.com[17]. As of this writing, he did not hold a position in any of the aforementioned securities. Check out recaps from previous trading days here[18].

Endnotes:
  1. AAPL: http://studio-5.financialcontent.com/investplace/quote?Symbol=AAPL
  2. set a $1,001 price target: http://investorplace.com/2012/04/apple-at-1001-it-will-happen-within-a-year-says-analyst-aapl-xom/
  3. about 6% of U.S. GDP: http://www.moneynews.com/StreetTalk/Apple-stock-one-thousand/2012/04/03/id/434613
  4. JPM: http://studio-5.financialcontent.com/investplace/quote?Symbol=JPM
  5. ILMN: http://studio-5.financialcontent.com/investplace/quote?Symbol=ILMN
  6. RHHBY: http://studio-5.financialcontent.com/investplace/quote?Symbol=RHHBY
  7. recent letter: http://www.valuewalk.com/2012/04/illumia-inc-ilmn-tells-shareholders-that-they-are-the-next-apple-inc-aapl/
  8. GM: http://studio-5.financialcontent.com/investplace/quote?Symbol=GM
  9. F: http://studio-5.financialcontent.com/investplace/quote?Symbol=F
  10. DNDN: http://studio-5.financialcontent.com/investplace/quote?Symbol=DNDN
  11. TSLA: http://studio-5.financialcontent.com/investplace/quote?Symbol=TSLA
  12. ESRX: http://studio-5.financialcontent.com/investplace/quote?Symbol=ESRX
  13. RIMM: http://studio-5.financialcontent.com/investplace/quote?Symbol=RIMM
  14. FSLR: http://studio-5.financialcontent.com/investplace/quote?Symbol=FSLR
  15. IVN: http://studio-5.financialcontent.com/investplace/quote?Symbol=IVN
  16. Kyle Woodley: http://investorplace.com/author/kyle-woodley/
  17. InvestorPlace.com: http://investorplace.com/
  18. here: http://investorplace.com/hot-topics/investorplace-market-recap/

Source URL: http://investorplace.com/2012/04/analysts-run-the-apple-asylum-tuesdays-ip-market-recap/
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