Cramer: This Apple move isn't over
Jim Cramer | email@example.com
Raising price target, Apple: moving to $550 from $475.
Raising price target, Apple: up to $550 from $500.
Yep, that's what has to happen now that Apple has come back from the oblivion of that last "bad" quarter and now that Carl Icahn has taken a stake and urged CEO Tim Cook to issue a larger stock buyback.
There are important things happening here.
First, the fact is that Tim Cook seems receptive to Icahn--or at least Icahn said Cook is receptive. Hey, that matters. Cook didn't seem to be receptive at all to David Einhorn when he saber-rattled.
Second, I have never ever seen expectations so low for a new phone like the iPhone coming out in September--in time for the holidays, I might add.
Third, yesterday morning we were treated to Oracle's Larry Ellison trashing the post-Jobs Apple. That's a little ridiculous given how poorly Oracle is performing, but I like that Ellison pronounced the company pretty much dead as a doornail.
Finally, and most important, analysts crushed their expectations and their price targets en masse in the five months since the bottom. But the stock has taken off so fast that they have no choice but to redo their price targets if only because they have now been overrun by the stock on the upside, just as they were on the downside.
That's why I don't' think this move is over. The analysts have too much work to do, on the upside ... raising targets!
Disclosure: Cramer's charitable trust is long AAPL.