Ahead of the Bell: Apple shares jump

posted: 35 DAYS 5 HOURS AGO

Text SizeAAA

NEW YORK -The surge in Apple Inc. shares continued into premarket trading Tuesday after the company's quarterly profit soared past Wall Street expectations.

Record iPhone and Mac computer sales helped lift the stock $12.26, or 6.5 percent, to $202.12 ahead of the regular session.

After trading Monday, Apple reported a 47 percent leap in profits to $1.7 billion, or $1.82 per share.

In a note Tuesday, Credit Suisse analyst Bill Shope told investors it is not too late to pick up Apple shares, reiterating an "Outperform" rating on the stock.

"Apple remains our top consumer-centric pick," he said.

Looking ahead, he predicted the much-discussed tablet computer Apple fans have been waiting for as well as a redesigned consumer notebook.

Shope said investors will be looking "beyond the company's notoriously conservative guidance."

Apple, based in Cupertino, Calif., projected earnings of $1.70 to $1.78 per share for the current quarter. That's well below the average estimate from analysts, who expect $1.91, according to Thomson Reuters. But few expect Apple will miss targets.

"Apple appears set to deliver an even more impressive December quarter," Oppenheimer & Co. analyst Yair Reiner said in a note.

2009-10-20 07:51:40