Apple Inc. (NASDAQ:AAPL) Consolidating After a 6% Rally On Monday
Shares of Apple Inc. (NASDAQ:AAPL) closed lower by 0.50% to $565.32 as the broader tech sector came under pressure in the afternoon session. The stock was trading higher in the morning sessions and made an intra-day high of $576.50.
Earlier this Monday, the stock had solid one day rally of about 5.80% as investors turned bullish on the company’s expected iPhone5 later this year. Analysts cited that ongoing shortage of baseband radio chip would not hurt the company’s launch.
Analyst at Piper Jaffray noted that the firm is expecting the company to come out with iPhone 5 by October despite the reported 28 nm baseband radio chip shortage at Qualcomm.
The firm provided further details about the upcoming iPhone:- “We believe the iPhone 5 will represent the biggest consumer electronics product launch of 2012 as well as the biggest device upgrade cycle in smartphone history,”
The firm has an Overweight rating and $910 target on the stock.
On the other hand, analyst at Goldman Sachs took a deeper look at the subsidy issue, and the broker said it does not expect U.S. carriers “to make any material changes to retail prices for leading smartphones,” since the market has four major carriers all pushing hard to grow their smartphone businesses.
Today, SimpleAir Inc. said that it has reached a settlement agreement with Apple Inc., where the later has agreed to license SimpleAir’s patents related to mobile-data transmission technology as part of the settlement of a 2009 lawsuit.
At the time when SimpleAir filed against Apple, the company had filed patent challenges against nine other companies including Research In Motion Limited (USA)(NASDAQ:RIMM), The Walt Disney Company (NYSE:DIS) and Facebook Inc (NASDAQ:FB).
Any other information is yet to be disclosed as SimpleAir and Apple weren’t immediately available to comment.
The Texas-based technology-licensing company with a focus in the wireless and mobile spaces said a preliminary agreement was reached last month, shortly before the case was set to go to trial in federal court in Texas.
SimpleAir filed its suit in September of 2009 against Apple and other major companies including