This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

iPad 2 Critical for Apple: Analyst

CUPERTINO, Calif. ( TheStreet) -- With more than 100 tablets expected to flood onto the market this year, Apple's (AAPL - Get Report) widely-anticipated iPad 2 launch on Wednesday is critically important for the consumer tech giant, according to Brian White, an analyst at Ticonderoga Securities.

"This event is not to be taken lightly, as the iPad is an important growth driver for Apple, and the company enjoys a first mover advantage," he said in a note released on Tuesday. "We believe Apple must make a convincing case for why the iPad 2 is better than the plethora of competitors coming to market, while at the same time persuading iPad 1 buyers to upgrade to iPad 2."
Apple's expected iPad 2 unveiling on Wednesday is crucial for the tech giant, according to Ticonderoga Securities analyst Brian White.

Apple is expected to woo consumers with a host of new iPad features, including front and rear-facing cameras, FaceTime video calling and perhaps a new operating system, iOS 5.

Ticonderoga's White warns, however, that the San Francisco launch will lack the star power brought by the company's iconic CEO, Steve Jobs. "This gathering will allow investors to evaluate how the Apple team executes during a crucial new product launch in light of Steve Jobs's medical leave of absence," he wrote. "[But] we believe the combination of a smooth presentation and a compelling iPad 2 offering can keep the [company's] stock moving in an upward trajectory."

Apple shares have climbed more than 68% over the last 12 months to reach $352.31, helped by the success of the initial iPad launch last year. The company has already sold more than 14.77 million iPads and the device accounted for 75% of global tablet shipments during the December quarter, according to research recently released by Strategy Analytics.

Sales of iPads and iPad accessories accounted for just over 17% of the company's recent first-quarter revenue, with Apple selling 7.3 million of the devices, 3 million more than the prior quarter.

--Written by James Rogers in New York.

>To follow the writer on Twitter, go to http://twitter.com/jamesjrogers.

>To submit a news tip, send an email to: tips@thestreet.com.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
DELL $0.00 0.00%
AAPL $109.08 -1.20%
HPQ $27.08 -3.10%
MMI $41.56 -4.10%
FB $87.46 -0.78%

Markets

Chart of I:DJI
DOW 16,061.36 -313.40 -1.91%
S&P 500 1,913.09 -38.04 -1.95%
NASDAQ 4,661.8740 -71.6230 -1.51%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs