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Jefferies analyst Peter Misek on how the iPhone 5 will impact earnings and why you should invest in the company now.
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So apple reporting its fiscal third quarter earnings after the bell today certain to generate headlines so should investors grab a slice of apple before the big release.
-- Peter -- analyst at -- Peter thanks for joining us.
Let's cut right through the case when -- -- -- my iPhone 5.
-- -- Either very late September earlier -- our guess is yeah we actually think it's gonna be September 24 and 25.
That -- that's our best guess right now but it could slip into the first or second week of October parts of how does that factor into the earnings release today from what I understand the number is expected to be strong but it's.
The guidance that everyone's gonna be zeroing in on.
Yeah that guidance is absolutely the key and the timing of that iPhone 5.
Is gonna determine how good or bad that got its gonna be and if five they don't include the iPhone 5 in the guidance that god will be very bad.
But frankly we think it's a non event we think that you should be by and the stock here in spite of that.
Because we think the iPhone 5 is not going to have any demand destruction whether launches in September October and it's going to be the biggest launching some electronic.
Yes what does very bad mean.
By way of the share price you can see apple shares were showing our viewers right now down over about 6027 -- nine your price target is 800 dollars.
Yet you just told -- think people should be snapping up shares of apple like right now is its entry right now.
Yeah now we love it here look we think there's a lot of upside and we think the stock could be as high as 800 by the end of the year certainly when the next twelve months and we believe that the guidance will be absolutely wrong because by the time the report the September quarter.
He'll be able to have your iPhone 5 if you pre order it and if you're lucky enough to wait in line together.
Outside of the iPhone 5 iPad debuting in China was little bit of it quite debut was described that's -- of -- other products -- around the world and how is that to influencing the earnings picture -- Well in China they had riots last time so what they're trying to do is manage that -- -- they created this reservation system work.
You have to reserve the iPad the morning and then pick up the next day so you didn't have the same lineups -- didn't have the same chaos but we think section someone reasonably well.
Based on some anecdotes we've we've heard.
We think that China is the second largest market for apple and it's obviously critical.
In the EU it's been a bit choppy we think Apple's done well in the northern.
I European countries but less well not Spain and Greece obviously okay apparently think it's been good.
Want to wrap up here with a question your -- not to be surprised to get and that's the performance of Tim Cook how's -- doing because we're still.
In the Steve Jobs air -- this is all of his product innovation and I think investors are already starting to look years down the road -- -- to what the next big thing will be.
Steve's created the next big thing CI TV.
I -- comes in the next six to nine months.
And -- into an awesome job he's acts kidding just like we thought we he would he's the best operator we know global it.
I can't miss it good info were all set to hear from apple after the close today thanks so much thanks so apple.
