UPDATE: BMO Capital Raises PT on Apple Following Consumer Survey, Focus Group

In a report published Friday, BMO Capital Markets analyst Keith Bachman reiterated an Outperform rating on Apple AAPL, and raised the price target from $480.00 to $508.00. In the report, BMO Capital Markets noted, “We conducted a consumer survey in the US, UK, and Germany, and hosted a focus group in the US. Participants have modestly lower enthusiasm for the Apple brand, a strong preference for the 5s (66% for the 5s vs. 18% for the 5c and 16% for the 4s) and assign a small value for commonality of brand between smartphones, tablets, and computers. We are lowering our iPhone unit estimate, while raising our iPhone ASPs. For example, we now assume iPhone unit growth of 10% in FY2014 and 3% in FY2015, compared to our previous forecast of 13% and 11%, respectively. We are also lowering our iPad forecast as 1) we think demand continues to trend weaker; and 2) we are now including a large-screen iPhone in our forecast in mid CY2014.” Apple closed on Thursday at $483.39.