Bidness Etc - Goldman Sachs Gives a Buy Rating Prior Its iWatch Launch

Goldman Sachs presented its scenario analysis on Apple (APPL). The analysis primarily indicates that possibly a favorable risk-reward profile awaits, the bear case price is thus $81 (which is almost 24% down the persisting level) and the bull case share price is expected to go as high as $151 (which is almost 41.5% up)

According to analyst Bill Shope, on ann year-to-date basis the shares of Apple have appreciated by 33.2% and since April 2013, it has appreciated by 91.3%. The prime reason for this growth revolves around their astonishing performance in terms of the announcements they made in the product and platform domain. This includes major breakthroughs like Apple pay, iPhone 6, Apple Watch etc. This seems like a far more established base than what many investors perceived a year back.

This is not the end of a good phase but moreover the shares were sold off by about 10.3% when compared to their 2014 highs. This has led to many investors wondering about what to expect from the company in 2015. Many thoughts cross their mind such as the running of shares, too far and too abruptly or would Apple Watch would be successful in giving the boost to the company’s share. This report will comprise a brief overview of the swing factors that can have an impact on Apple hare price in 2015. A catalyst map for the upcoming year will also be discussed that will focus on various scenarios regarding the financial and product metrics.

According to Shope’s consensus, the risk-reward profile of the company shares seems to be extremely favorable. Hence, he gives a Buy rating to Apple with an approximate target price compounding to $124.

The much-anticipated gold version of the Apple Inc (NASDAQ:AAPL) watch is finally about to arrive. The watch is approximately worth $5,000, but since this was not enough for the tech giants. A diamond studded watch is about to be launched which is priced at $30,000.

Mervis Diamond Importers are impatiently waiting to get customized orders for the watch. The watch is made out of 8 rows of diamonds studded in an 18-carat rose gold band. This company has been associated with apple for a long time in terms of providing Apple with diamonds for their devices. A diamond encrusted iPod shuffle was released in 2007. A few years later a diamond encrusted iPad was released. One fantastic outcome being that Apple is now making a diamond watch that is wearable rather than making iPad’s with diamonds on it.

Such products are not demanded in a high quantity, but companies that specialize in making such products gain huge amounts of profits within the few pieces that are sold.

Since everyone does not have an extra $5,000 or $30,000 to spare, a normal Apple watch can still be bought by everyone for $349. The reports that came in recently stated that the manufacturing of the obnoxiously priced watch will begin in January, it is said to be released by the end of quarter 1 2015. The company hopes to get 5 million watches ready by the launch date.

Mervis and other third parties must be grieved about the release date as they will miss out on the Christmas Shopping season sales of the diamond studded watch.