Money Morning Defense & Tech Specialist Michael A. Robinson has lowered his Apple stock price target in the wake of less than stellar earnings yesterday (Tuesday), but nevertheless sees significant gains ahead.
"If you're looking at the long haul, Apple is still a stock to own," Robinson said today (Wednesday) on the FOX Business Network's "Varney & Co." program.
Apple Inc. (Nasdaq: AAPL) earned $3.28 a share, beating expectations for $3.23. But revenue of $75.87 billion just missed estimates. Sales of the iPhone, which generates two-thirds of Apple's revenue, increased less than 1% from the same period a year ago.
The contrast with last year's big growth numbers, when earnings in the December quarter rose 48% year over year, has prompted Robinson to lower his Apple stock price target from $142.85 (the pre-split equivalent of $1,000) to $130 by Labor Day 2017.
The AAPL stock price slumped as low as $94.04 in mid-morning trading, but by early afternoon had climbed back to the $95 to $96 range. AAPL stock is down about 28% from its highs of last July.
"Most of what we've seen from this quarter has already been priced into the stock," Robinson said. "I'm still a buyer at these prices."
For more of Robinson's thoughts on the Apple stock price - and why he's still bullish on the company despite yesterday's disappointing earnings - click on the video below.
Things You Didn't Know About Apple: Apple has been around for nearly 40 years now, and is one of largest and best-known companies in the world. But it has a quirky history. And most of this history isn't that well-known beyond the Apple fanboy crowd. Chances are these 15 Apple facts will surprise you...
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