Can Investors Still Get More Juice Out Of Apple?

Wall Street was calling on Apple Inc. AAPL to save the tech sector with its third-quarter earnings, and it did not fail to deliver, posting EPS of $1.67 and $45.4 billion in sales compared to consensus estimates of $1.57 and $44.89.

The stock soared to new all-time highs on the new print and was trading up over 6 percent in the mid-$159 handle.

Despite touching his price target, Baird analyst William Power sees “more juice on tap” for investors, reiterating Apple as Baird’s top big-cap pick with a Buy rating and price target upped from $160 to $172.

Highlights From The Earnings Report

One of the highest priorities for Apple analysts and regular fans alike was Q4 guidance, which would indicate when the next cycle of iPhones will launch. A lower than expected sales figure could have indicated a delay in shipments until later in the fall.

“September quarter guidance implies a healthy sequential revenue increase, consistent with past years,” said Power.

In other words, the iPhone 8 seems to be on schedule.

Apple also reported more iPads and Macs sold than expected, which helped to drive sales.

Power also noted positive trends, including growth in iPads sold year-over-year for the first time in over three years and 22 percent year-over-year services growth.

Should investors be concerned about Apple reaching a peak? “Not yet,” according to Power.

At time of publication, shares of Apple were up 5.96 percent at $159.

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