Tuesday, April 2, 2013

Here's Why Goldman Just Removed Apple From Its 'Conviction Buy' List

tim cook apple ceo


Goldman Sachs has removed Apple from its famous 'Conviction Buy' list.


Here's why:


We remove Apple from the Americas Conviction List, but we maintain our Buy rating.

Based on Monday’s close, AAPL has gained 33.8% since being added the Conviction List

on December 12, 2010, versus a 25.9% gain in the S&P 500. Our new 12-month target

price is $575, from $660 previously, based on a 13X multiple (previously 14X) on our

lowered CY2013 EPS estimate of $44.64 (previously $47.29). Key risks include delayed

product cycles, supply chain difficulties, product price erosion, and a slower pace of

product innovation. - GSCO


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