Shaw Wu, analyst for Sterne Agree, has revised his forecasts for Apple's performance on the market. He awarded Apple the "Buy" rating and raised his sales forecast for the quarter, ending in March.
Shaw Wu expects Apple to sell 12.3 million iPads in the first three months of this year, compared to his previous estimates - of 11.5 million units.
In 2012, Apple expected to sell 63 million iPads, which is a moderate prediction, compared to other reports that suggest Apple might sell 73 million iPads, by the end of the year.
In addition, Wu has boosted Apple target price to $750, according to a recent Forbes report. Initially, Wu was more cautious, due to the slower production for the new iPad. Investors' speculations on this matter were focussed on a decreased demand, for the latest iPad.
"From our supply checks, we believe concerns have good intentions but [are] misplaced as it appears that production is limited more by supply of new HD retina displays and conforming to more sound labor practices," responds Wu dismissing the slow demand theory.
He points out that the demand for the new iPad is actually increasing, and as the supply improves, the sales will skyrocket again.