Nov. 28 (Bloomberg) -- Shares of Apple Computer Inc. rose to a record after analysts said faster Macintosh computers and low-priced iPod players will spur holiday sales, and that a new music phone may buoy revenue next year.

Mac and iPod shipments may reach record highs this quarter, said UBS AG analyst Benjamin Reitzes, who today raised his profit estimate for the period to 80 cents a share from 78 cents. Analysts on average expect 77 cents. He foresees Mac sales of 1.8 million units and iPod sales of 16.6 million.

Chief Executive Officer Steve Jobs will attract more customers after adding faster chips from Intel Corp. to Mac models this year and selling a smaller, cheaper iPod Shuffle, according to analysts. He also may win buyers by introducing an iPod mobile phone in 2007, adding to the popularity of the Apple brand, said Piper Jaffray Co. analyst Gene Munster.

``The phone market is just a whole new market for them, and the potential number of units could dwarf what the iPod alone could do,'' said Munster, based in Minneapolis, who has rated Apple's shares ``outperform'' since June 2004.

Apple may introduce a so-called iPhone at the Macworld Expo show in San Francisco on Jan. 9, when Jobs delivers the keynote address, Reitzes and Munster said. Apple spokesman Steve Dowling said the company declines to comment on speculation.

The shares, which have gained 28 percent this year, climbed $2.27 to $91.81 at 4 p.m. New York time in Nasdaq Stock Market composite trading. The previous record high of $91.63 was set Nov. 24.

Analysts' Estimates

Analysts said they expect Cupertino, California-based Apple to top last year's holiday shipments for Macs and iPods in the quarter ending Dec. 31, fueled by sales through Apple's 170 retail stores. Apple sold 1.25 million machines and a record 14 million players a year ago.

Charles Wolf, of Needham & Co. Inc. in New York, said Jobs may surpass his estimate of 1.8 million Macs and 17 million iPods, judging by traffic at the company's New York store on Fifth Avenue on Nov. 24, the day after Thanksgiving.

That day, typically viewed as the start of the U.S. holiday shopping season, is known as Black Friday because at one time it was considered the day retailers turned profitable for the year.

``The Fifth Avenue store probably attracted between 15,000 and 20,000 visitors on Friday if not more, considerably above the average 9,000 it otherwise draws,'' said Wolf, who rates Apple's shares ``buy.'' ``It was the busiest I've seen it.''

Black Friday

Apple's U.S. stores may have drawn as many as 916,000 Black Friday shoppers, said Jonathan Hoopes of ThinkEquity Partners, who tracked visitors to 28 Apple outlets in eight states.

At least eight of every 100 visitors made a purchase, adding $36 million to $41 million to Apple's holiday sales, Hoopes said. The company's retail sales this quarter could jump 35 percent to $1.45 billion, he said.

Apple doesn't disclose Black Friday visitor data, Dowling said.

The Fifth Avenue store, the only site to operate 24 hours, seven days a week, probably was among the most frequented outlets, Hoopes said.

That's where 14-year-old Nic Rovner bought his sister a $79 Shuffle, the 1.62-inch (4.1 centimeter) music player Apple released Nov. 3. Paul Gemperle, visiting from Geneva, picked up three Intel-based MacBook notebooks, one for himself and two as gifts. Kay Scouller of Sydney bought an 80-gigabyte video iPod, a model Jobs started offering in September.

The iPod is the best-selling music player in the U.S., with a 75 percent share of sales, according to the NPD Group Inc. in Port Washington, N.Y. Apple has sold more than 67.6 million players since Jobs, 51, introduced the device in October 2001.

Hooked on Apple

The player also is currently the most popular consumer electronics item at Amazon.com Inc., the world's biggest online retailer. IPods held six of the top 10 spots on the retailer's list of best-sellers today.

The player has won a following among consumers who buy multiple iPods, including Ben Emanuel of Westchester, New York. He bought two Shuffles to add to the six iPods his family already owns, and said he didn't even consider rival players such as Microsoft Corp.'s new entry into the market, Zune, because he's ``Apple hooked.''

Jobs also may win buyers for a phone that plays music and lets owners download tracks from Apple's popular iTunes store, analysts said.

Apple may sell 3.9 million phones in 2007 and 6.7 million in 2008, Keith Bachman of Banc of America Securities said in a report last week. The phone may sell for an average of $300 and add as much as $1.5 billion to annual sales, said Reitzes in New York, the second-ranked computer analyst by Institutional Investor magazine.

``What Apple has to their advantage is people assume they're going to do it right,'' said Piper Jaffray's Munster. ``The chances are slim to none that they'll blow it.''

To contact the reporter on this story: Connie Guglielmo in San Francisco at cguglielmo1@bloomberg.net.

Last Updated: November 28, 2006 17:16 EST