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Needham Upgrades Apple to Buy

A survey by analyst Charlie Wolf indicates that a significant number of Windows users will switch to Macs

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From Standard & Poor's Equity Research
Needham upgraded Apple Computer (AAPL) to buy from hold, explaining that a significant number of Windows users will switch to Macs once Apples can run Windows applications.

Analyst Charlie Wolf notes that his survey of Windows users in the U.S home market indicated that 8% or participants would switch to a Mac if it could run Windows. Although this is seemingly a small percentage, it dwarfs Apple's current share of its home market. He says the risk to his upgrade is one of timing; migration to the Mac resulting from its ability to run Windows is unlikely to kick in fully before 2008. He maintains his $2.05 fiscal year 2006 (ending September) earnings per share (EPS) estimate and his $2.58 forecast for fiscal year 2007.

All of the views expressed in this research report accurately reflect the research analyst's personal views regarding any and all of the subject securities or issuers. No part of analyst compensation was, is or will be, directly or indirectly related to the specific recommendations or views expressed in this research report.
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Any advice, analysis, or recommendations contained in articles labeled "Insight from Standard & Poor's" reflect the views of Standard & Poor's, which operates separately from and independently of BusinessWeek Online. It is possible that BWOL may from time to time publish information that is not consistent with advice, analysis, or recommendations that are published by Standard & Poor's. Standard & Poor's and BusinessWeek Online are each units of The McGraw-Hill Companies, Inc.

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