Apple (AAPL) Could Add ~$300 Per Share in Android Litigation
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Price: $313.39 --0%
Rating Summary:
45 Buy, 29 Hold, 7 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 14 | Down: 19 | New: 24
Rating Summary:
45 Buy, 29 Hold, 7 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 14 | Down: 19 | New: 24
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Apple (Nasdaq: AAPL) is trading higher, following reports that Google (Nasdaq: GOOG) Android litigation could add "significant value" for shareholders.
According to a Deutsche Bank analyst -- who issued a note on the topic Monday -- there are two possible outcomes in Apple/Android litigation. The best part? They're both favorable for Apple.
The first outcome is that Apple wins, thus garnering more licensing revenue. Deutsche sees a $10 per unit licensing deal adding about $35 per share to Apple's share price.
Apple could also seek a ban on Android, gaining as much as an additional 25 percent of market share. The second scenario has incremental value for Apple shareholders about 7 times to 8 times higher (than the first scenario), i.e. - about $261 to $300 per share.
Notably, both scenarios are painted with an outright win by Apple, but a decision could be drawn out well into 2013.
Related, the Deutsche analyst making the call sees Apple's 200 patents related to multi-touch technology are "largely undervalued" by the Street.
Apple stock is trading about 0.8 percent better early Monday.
According to a Deutsche Bank analyst -- who issued a note on the topic Monday -- there are two possible outcomes in Apple/Android litigation. The best part? They're both favorable for Apple.
The first outcome is that Apple wins, thus garnering more licensing revenue. Deutsche sees a $10 per unit licensing deal adding about $35 per share to Apple's share price.
Apple could also seek a ban on Android, gaining as much as an additional 25 percent of market share. The second scenario has incremental value for Apple shareholders about 7 times to 8 times higher (than the first scenario), i.e. - about $261 to $300 per share.
Notably, both scenarios are painted with an outright win by Apple, but a decision could be drawn out well into 2013.
Related, the Deutsche analyst making the call sees Apple's 200 patents related to multi-touch technology are "largely undervalued" by the Street.
Apple stock is trading about 0.8 percent better early Monday.
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