Apple climbs on upbeat analyst view UBS boosts target; company sets NBC pact for TV shows By Michael Paige, MarketWatch Last Update: 4:17 PM ET Dec. 6, 2005
LOS ANGELES (MarketWatch) -- Apple Computer Inc.'s stock rose to a new high Tuesday, boosted by an upbeat analyst note and news of a pact that will allow users to download television programs from NBC Universal through iTunes. "We are excited about the prospects for further revenue contribution from iPods due to what we perceive as a positive mix shift to video iPods," Benjamin Reitzes of UBS said. The analyst boosted his earnings estimates on the company through fiscal 2007 and lifted his target price for the stock to $86, up from $74 previously, reflecting "Apple's ability to grow rapidly with relatively high margins vs. its peers." Reitzes rates the stock a buy. Apple, based in Cupertino, Calif., also could announce versions of its Mac computers based on chips from Intel Corp. 6:34pm 12/06/2005 Shares of Apple climbed to new highs, closing better by $2.23, or 3.1%, at $74.05. The stock earlier traded as high as $74.83, overtaking a prior high of $72.74 made on Friday. The computer maker made a splash over the summer by announcing it would switch to computer chips produced by Intel, the world's biggest chipmaker, in its signature Mac computers beginning next year. 6:41pm 12/06/2005 Apple could use the occasion of its annual Macworld conference, set to take place next month in San Francisco, to launch the new Macs and other products, according to the analyst. "In addition to solid holiday sales, we believe investors will focus more on potential new products at Macworld in January, including a few new Macs and other new initiatives," Reitzes said. The analyst believes that the company has more plans in the area of digital entertainment and media that include new hardware, content and services, he added. Separately, Apple and General Electric Co.'s NBC Universal formed a partnership to offer downloads of new prime-time, cable, late-night and classic television shows through Apple's iTunes Music Store. The deal, which includes programs like "Law and Order" and "The Tonight Show with Jay Leno," is Apple's second licensing arrangement for video on iTunes. The companies didn't disclose financial terms of the pact. See full story. Users have purchased and downloaded more than 3 million videos from iTunes since the offering debuted on Oct. 12. Jeff Slyn, Owner SLYN Systems & Peripherals (502) 426-5469 serving Kentuckiana clients 7 days a week since 1985! -------------- next part -------------- An HTML attachment was scrubbed... URL: http://www.math.louisville.edu/pipermail/macgroup/attachments/20051206/a3641cd3/attachment.html -------------- next part -------------- A non-text attachment was scrubbed... Name: not available Type: image/gif Size: 43 bytes Desc: not available Url : http://www.math.louisville.edu/pipermail/macgroup/attachments/20051206/a3641cd3/attachment.gif
