Piper Jaffray Comments On Apple's Possible Supply Constraints Following The Quake

Piper Jaffray believes it is prudent to expect component delays causing limited supply of Apple AAPL products into the June quarter. However, Apple has dealt with supply/demand imbalance since the early days of the iPod, and Piper expects shares to appreciate over the next several months despite supply constraints which will be resolved. Historically, calls based on supply-side concerns have led investors astray, but demand for Apple's products continues to rise.

Piper Jaffray expects component delays for some of Apple's key products including iPhone 4 and iPad 2 through the June quarter. However, investors have historically forgiven supply side issues as long as the demand for Apple's products is unaffected. Piper believes the constraints caused by shuttering Japanese manufacturing facilities will cause a temporary supply disruption through the June quarter, but it also notes that demand is stronger than ever, which should move shares higher.

Piper has an Overweight rating and $483 PT on AAPL

AAPL closed Wednesday at $330.01