Analyst Rob Semple of Credit Suisse First Boston (CSFB), today significantly raised the target price for Apple from $40 to $70.

This rise represents the surpassing of prior sales guidance in the first quarter, amid rumours that iPod sales are sending the computer giant’s earning soaring.

CSFB announced predictions for first quarter sales of $3.3 billion where Apple had predicted between $2.8 and $2.9 billion.

Mr. Semple also predicted that Apple will sell approximately 4.8 million iPods in its fiscal first quarter and will end up with “a substantial backlog, mostly in international locales.”

These sales of the Apple’s iPod, “this season’s hottest consumer electronics product”, he said, would then contribute to Apple gaining PC market share this quarter.