AmTech Expects Apple To Meet Or Beat In Report Monday

| About: Apple Inc. (AAPL)

This could be confusing at first glance: American Technology Research’s Shaw Wu writes in a note Friday morning that he expects Apple (NASDAQ:AAPL) to meet or beat the consensus view for its September quarter when it reports on Monday. But he also thinks the estimates for December have gone too far, and that Apple’s forecast will likely be below consensus.

Concludes Wu: “While AAPL shares will likely be volatile given high expectations and its superstar performance, we advise investors to take advantage should AAPL shares pull back on short-term concerns.” He thinks the stock can go to $185.

For the just-ended quarter, Wu is expecting $6 billion in sales and 83 cents per share in profit and he thinks Apple can meet that even though the company’s forecast is for only $5.7 billion in sales and 65 cents.

But for December, the Street’s view is too high at $8.6 billion and $1.38; Wu thinks it’s more like $8.1 billion and $1.25. “For the December quarter, we believe AAPL will most likely continue its tradition of conservative guidance to help reign in unrealistic expectations,” writes Wu.

Wu goes on to say that Apple is seeing strength across the board with its new iPods, including the “Touch” model, and he’s comfortable with an estimate that Apple sold 900,000 iPhones in the last quarter, above the company’s own forecast of 730,000.

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