All that glitters is gold/Only shooting stars break the mold
-- All Star , Smash Mouth
NEW YORK ( TheStreet) -- Spurred by the incredible demand for the iPhone 5s, particularly the gold model, Apple (AAPL - Get Report) sold more than 9 million new iPhone 5c's and 5's in its opening weekend, prompting a price target raise from Goldman Sachs analyst Bill Shope.
Shope reiterated his "buy" rating and raised his price target to $560, up from $530, also raising his earnings estimates after yesterday's blowout results. "We are raising our estimates as a result of this significant upside," Shope wrote in the report. "In addition, while most investors seemed positively surprised by today's news, we also heard from the bears on the story and we address some of their concerns in this note as well."
He now expects Apple to generate $7.85 per share in earnings on $36.96 billion in revenue, up from a previous estimate of $7.31 and $35.05 billion. Analysts surveyed by Thomson Reuters expect Apple to earn $7.47 per share on $35.23 billion in revenue for the fiscal fourth quarter.Goldman also upped its estimates for fiscal 2014, as it now expects Apple to sell 164.4 million iPhones, helping generate $182.71 billion in revenue, and earning $44.11 per share. That's up from a previous estimate of 156.55 million iPhones, $179.67 billion in revenue, and $42.65 per share in earnings.