- "While we note that our fundamental stance on Apple's challenges are unchanged, we believe shares have over-corrected," writes Wells Fargo's Maynard Um, upgrading to Outperform. His target range is $125-$135.
- Um, who downgraded Apple (NASDAQ:AAPL) back in early 2014, adds Tim Cook's Monday e-mail to Jim Cramer regarding Chinese iPhone sales provides better calendar Q3 visibility. "We also note AAPL’s 3rd party manufacturing & component commitments ... suggest upside potential to its $49B-51B guidance. While our concern on tough compares for the Dec quarter are unchanged and our [estimates] remain below the Street, we believe the stock had been reflecting this challenge ... We believe the risk/reward at 8x our [free cash flow estimate] is tilted favorably with China strength appearing to have continued recently and the quarter having some visibility..."
- With the help of higher equity markets - Nasdaq futures are up 3.7% - Apple has risen to $109.01 premarket. Shares fell as low as $92.00 yesterday morning before closing at $103.12.
- Update (4:15PM ET): Apple gave back most of its gains as markets sold off this afternoon. Shares closed up 0.6%.