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UBS analyst Ben Reitzes sent a note to clients yesterday regarding Apple. UBS has a 'buy' rating on Apple, with price target of $100. Key excerpts:

While we believe there are some near-term risks to earnings upside due to the transition to Intel processors in the first half calendar 2006, we believe several fundamental positives position Apple for continued growth and share price appreciation over the long-term...

[Re. Intel Macs:] In our surveys of Apple retail stores as well as other channels across the country, we have detected that even store representatives are encouraging customers 'to wait' more than we anticipated which has been a modest surprise...

[Apple is] getting set to 'end of life' the Shuffle possibly in favor of a 1GB version of the Nano...

We continue to believe that Apple has the best 'mouse trap' -- not just the best media player, but also the best delivery system (iTunes), the best content partnerships (Disney, NBC, etc.), and most importantly the easiest and simplest access format..

While our estimates remain above consensus, we are cutting our second quarter earnings-per-share (NYSEARCA:EPS) estimate to 46 cents (was 50 cents) on revenues of $4.7B reflecting modestly lower Mac estimates and a quarter-to-quarter decline in iPod sales. Our fiscal year (FY) 2006 EPS estimate is now $2.14 (was $2.24) on revenue of $20.5B (was $21.5B) but our FY07 EPS estimate remains $2.75.

(Hat tip: AppleInsider)

AAPL 1-yr chart:

On a related note, check out Apple's TV ad for the Intel iMac (req. Quicktime).

Source: UBS Cuts Apple EPS Estimates, Predicts 1GB iPod Nano (AAPL)