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Tuesday, Sep 24
When the facts change ... Susquehanna upgrades Apple
- "When the facts change, we change our minds," says Susquehanna's Chris Caso, upping Apple (AAPL) to Buy with $625 price target (from $440 previous). He speaks of the 9M in weekend sales for the new iPhones - "more successful than we and many others had expected."
- Importantly, he notes, Apple didn't need to sacrifice margins, current shortages mean a healthy backlog entering CQ4, and a China Mobile launch may be about to come.
- The risk here is demand slows after the initial launch, but it's a risk he's willing to take, and Caso's a buyer on weakness ahead of next year's iPhone 6 cycle.
- Shares +0.5% premarket.