The huge demand for the latest iPhone released on the market by Apple with unprecedented force, has determined analysts to up the price target to $525 per share from $500, ahead of Apple's quarterly earnings call next week.
Mike Abramsky, RBC Capital Markets analyst, pointed out that the aggressive strategy Apple employed to push the fifth generation iPhone onto the markets, both worldwide and domestically, having a predictable effect on share value, The Financial Post reports.
In the US, Apple took an unprecedented approach making iPhone 4S the Apple handset with the largest availability, included at the same time in the offer to subscribers by Verizon, AT&T and Sprint. Globally, iPhone 4S had the fastest rollout ever, now being available in 90 countries. One of the most discussed national markets was China, as the loyal fan base Apple has there took to the stores by storm to get the latest iPhone 4S.
Analysts believe that the direct affect was that Apple managed to ship in the first fiscal quarter of 2012 around 32 million iPhones, a big part of them being iPhone 4S. That represents double the amount of iPhones shipped in the same period last year, which was 16.2 million units.
Under the circumstances, Mike Abramsky predicts that Apple will report $40.2-billion in revenue, considering also the strong iPad sales and the success of Macs.