Apple Inc. (AAPL) may sell 4 million to 6 million still-to-be-released smaller iPad tablets in this year’s fourth-quarter holiday season, according to Piper Jaffray Cos.
“We believe the smaller iPad, while potentially cannibalizing 10 percent of full size iPad sales, could take 30 percent of total Android tablet sales in the December quarter,” Gene Munster, an analyst for Minneapolis-based Piper Jaffray, said today in a note to investors containing the forecast.
Munster rates Apple overweight, the equivalent of a buy recommendation. Munster has set a target price of $910. Apple closed on July 6 at $605.88.
Piper Jaffray previously expected the smaller iPad to be released next March. Munster said he expects the smaller iPad to make up 20 percent of total iPad sales in the December quarter. The product is likely to be priced at $299 with 16 gigabytes of storage, he wrote.