Gene Munster: Put Apple TV Doubts to Rest
If there’s talk about Apple’s (NASDAQ:AAPL) rumored television, Piper Jaffray’s Gene Munster can’t be far behind. The analyst told PC Magazine’s Sascha Segan that the probability of the iPhone maker releasing a TV product in 2013 was very high.
“We are pretty confident [of the device arriving this year], and I would say if you were to put a percentage probability on it we would say there is an 85 percent chance it happens by the end of this year, and a 100 percent chance that it is going to be in the next two years,” Munster told Segan in an interview.
The Piper Jaffray analyst has earlier predicted that the device will be priced between $1,500 and $2,000 and will have features such as a simplified interface, unified control of TV-connected devices, voice-enabled control, an app store, games, and FaceTime video conferencing.
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Munster, who also has a very bullish $900 price target on Apple that represents a 63 percent upside, was asked if that prediction kept him “up at night”. The analyst said that while he realized there was a big gap between the present situation — Apple closed at $527 on Friday — and the forecast, he was not worried.
“If you look at the numbers and what is coming in 2013, I am not concerned about that price target,” he said. “The reason is this: we are at 20 percent+ earnings growth for the next three years … and we have the new TV sometime later this year which should be positive too. You may think as 63 percent as a big number, but when you start stepping through the math it’s not that big of a jump.”