Goldman Sachs ‘corrects’ yesterday’s Apple price target change

A penny for analyst Rod Hall’s thoughts today.

From a note to clients that landed on my desktop Friday morning:

CORRECTION: We are correcting our 12-month price target to $80 (incorrectly published on January 14 as $85), which remains based on 22.5x our Q5-Q8 EPS forecast of $3.55. There is no change to our view or rating.

Maintains Sell rating. Lowers published target from $85 to $80. 

My take: What a shit show.

See also: Goldman Sach raises Apple target $10 to Street-low $85

15 Comments

  1. Jerry Doyle said:
    This is “breathtaking!” It’s beyond comical. It’s an embarrassment to GS.

    2
    January 15, 2021
  2. David Emery said:
    Anyone else in favor of just ignoring Hall, and “voting him off the island” and the quarterly earnings spreadsheet?

    4
    January 15, 2021
    • David Emery said:
      Here’s my proposal: The quarterly spreadsheet lists those who have been ‘thrown off the island” with a footnote something like:

      “The following individuals are not included, due to a history of statistically non-credible estimates. Rob Hall/Goldman Sachs”

      3
      January 15, 2021
    • Jerry Doyle said:
      @David Emery & PED: I vote YES! Why waste your time PED and ours’ with this sleepwalker.

      2
      January 15, 2021
  3. Kirk DeBernardi said:
    One wonders, with Rod Hall’s “lone-wolf” style of analyzing AAPL, if it’s not a straw-grab at being considered the brilliant “lone-wolf” if he somehow happens to be right somewhere in the future.

    1
    January 15, 2021
    • David Emery said:
      Ah, the “stopped clock is right twice daily” model of stock analysis….

      1
      January 15, 2021
  4. Greg Lippert said:
    PED I like your take. Spot on.

    2
    January 15, 2021
  5. Dan Scropos said:
    He’s over $1 off on his earnings estimate of $3.55. I’m quite sure that Apple will earn $4.55 or higher. I’m at $1.56 for the next earnings announcement. If I’m right about FY 2021 he’s an unconscionable $4 off pre-split. This guy should be working the ring toss at a traveling carnival.

    4
    January 15, 2021
  6. Neil Shapiro said:
    “A penny for analyst Rod Hall’s thoughts today.” Wow! Did YOU overpay!!!!!

    5
    January 15, 2021
  7. Gregg Thurman said:
    Cramer made a comment today about “that guy over at Goldman Sachs”. I’ll let you decide if it was disparaging.

    2
    January 15, 2021
  8. Robert Paul Leitao said:
    I wouldn’t get all worked up over Mr. Hall’s price target or estimates. It’s one analyst’s view. Reading other coverage of the note – from my perspective – he suggests the eventual reopening of the economy will be a negative for the share price as consumers migrate their spending to outside the home including a return to vacation activity, etc. He also doesn’t see an iPhone super cycle based on the way he views the data. In my view, his work is useful as a counterpoint for research and analysis. Take it for what it is and move on…

    2
    January 15, 2021
    • Mark Visnic said:
      Robert,

      His analysis is very limited (which is why it proves to be wrong chronically) but, I do agree it is worth the awareness of knowing. It’s the same with CNBC. I want to know when there is a negative price influence so I can assess and exploit. Without flawed views such as Hall’s the average price would be higher between earnings events. A lower average price between earnings events, yields greater upside over time on earnings events for Apple and for shareholders who take advantage of it.

      0
      January 15, 2021
  9. Michael Goldfeder said:
    The earth is flat, bumblebees can’t fly, and Rod Hall stands by his $75.00 PT. All is good at Goldman Sachs.

    1
    January 15, 2021

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