Credit Suisse Cuts Apple FY13, FY14 Estimates, Shipments, Maintains Outperform

Credit Suisse analyst Kulbinder Garcha earlier cut Apple's

FY2013 EPS estimate from $47.90 to $44.92. FY2014 EPS was also on the chopping block, lowered from $58.20 to $54.03. Garcha maintains an Outperform rating on Apple. The reasoning for the lowered expectations comes down to FY2013 and FY2014 shipments being cut by 11 percent and 8 percnt, respectively. Garcha noted a likely iPhone refresh in mid-2013 and a March release of the Samsung Galaxy S4, saying these items should cause a momentary pause in demand. Apple has faced steadily increasing competition from multiple handset makers including Samsung, HTC, and Nokia. The trend for smartphones to have increasingly larger screens is not one that Apple has embraced (despite the iPhone 5's slightly larger screen size than earlier models). Apple shares are set to close the session down 2.6 percent around $430.