Andrew Neff Rating Quotations

The operating numbers were not as good as advertised.

While the stock could remain under pressure near term, we maintain our 'buy' rating on IBM owing to a compelling second-half story.

We continue to view the stock pullback as a buying opportunity, with Apple's price-to-earnings at 17 times our calendar 2007 operating earnings-per-share estimate.

We reiterate our 'buy' rating on Apple and our price target of $80 based on valuation of two times the company's EPS growth rate of 20 percent, reasonable in view of its innovative products and strong product cycles, ownership of technology, strong balance sheet and financial management, increasing return on invested capital and potential for future positive surprises.