Here is your daily Apple (NASDAQ: AAPL) stock news and rumors report for Oct. 7, 2010. Another boost of confidence for AAPL shareholders comes from JPMorgan today, as the financial institution raises its expectations for fourth-quarter revenue. Also, Verizon’s president takes time out from his busy schedule to respond to yesterday’s Wall Street Journal report on the Verizon iPhone. Finally, Motorola, realizing it’s the only smartphone maker not suing anyone right now, files a patent infringement lawsuit againt AAPL.
JPMorgan Raises Apple Fourth-Quarter Revenue Expectation to $18.71 Billion: AAPL shareholders be advised: The Cupertino, Calif. technology manufacturer is showing no signs of slowing down after a year and more of monumental growth. Two days after Ticonderoga Securities raised its 12-month Apple stock target price to $430, JPMorgan Chase (NYSE: JPM) has raised its own expectations for the company. While its target price remained at $400 by December 2011, the financial services group raised its expectations for Apple’s fourth-quarter revenue to $18.71 billion, up from a previous estimate of $18.13 billion. It adjusted its expectation for total revenue earned at the end of Apple’s 2011 fiscal year, predicting $81.53 billion in revenue up from earlier expectation of $78.84 billion. JPMorgan cited the strong momentum of the iPad, the iPhone 4, and other international iPhone releases. Analyst Mark Moskowitz said in his note to investors that there is still “plenty of growth” left for Apple. While his report for JPMorgan did not include the possible release of a Verizon (NYSE: VZ) iPhone in the first quarter of calendar 2011, he did note that such a phone “appears to be coming” and that a Verizon iPhone could add upwards of $2 a share in incremental earnings.
Verizon: Apple Will Announce Verizon iPhone. Following up on yesterday’s Wall Street Journal report on the impending announcement of a Verizon iPhone with a CDMA chipset, a Verizon executive has said that it will be Apple, not Verizon, that makes any announcement. Verizon president and chief operating officer Lowell McAdam responded to questions regarding the WSJ report at the CTIA conference in San Francisco by saying that, as previously stated, he believes Apple and Verizon will inevitably see their businesses intersect in the future. He did, however, confirm that he thinks, “Apple is the one that has to make that announcement.” McAdam’s statement seems to confirm that Verizon CEO Ivan Seidenberg will not be revealing a Verizon iPhone during his keynote address at this January’s Consumer Electronics Show.
Motorola Joins the Lawsuit Rush, Files Against Apple: Not to be outdone by Microsoft (NASDAQ: MSFT) or Apple, Motorola (NYSE: MOT) filed a patent infringement lawsuit against Apple as every player in the mobile technology market accuses the other of stealing tech. Motorola claims that most of Apple’s products, including Mac computers, the iPad, iPhone, iPod Touch and even iTouch and MobileMe software, infringe on patents filed by Motorola in the past. The suit keys on 18 patents “which relate to early-stage innovations developed by Motorola in key technology.” Like Microsoft, which just two days ago filed a lawsuit against Motorola for similar reasons, MOT has also filed a complaint with the International Trade Commission.
As of this writing, Anthony Agnello did not own a position in any of the stocks named here.
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