An analyst has predicted that Apple’s annual performance is on track “for continued growth and share price appreciation over the long-term”.

UBS’s Benjamin Reitzes pointed to “several fundamental positives” in a note to investors, while acknowledging the risk associated with the move to Intel technology.

Expected developments this year include the launch of iBooks some time early in the next quarter, a possible “media hub” product, more iPod models towards the year-end, and a new mobile phone product on the cards.

Mr Reitzes added that with the iTunes music store Apple remained in the best position to capitalise on the trend for digital content downloads, and said he did not see possible services from Microsoft and Google as an immediate competitive threat.

Making a slight adjustment to his previous prediction, the analyst estimated sales of 10 million iPods in the current quarter, but raised the average selling price (ASP) from $210 to $226, according to the Apple Insider.

© 2006 Adfero Ltd