Analysts at BMO Capital raised the price target on shares of Apple (AAPL) to $565.00 from $560.00 and reiterated their Outperform rating on the stock.

“We continue to believe that AAPL’s valuation is attractive relative to historical measures as well as relative to the S&P 500. Based on changes in the multiple, we believe that the upside case is in the $635 range and the downside case is in the $470 range. We are raising our March quarter EPS estimate to $10.23 from $10.16 (consensus of $10.14)” BMO Capital said

“We are raising our EPS estimates on Apple, driven by aggressive share buybacks. Apple repurchased approximately $14 billion worth of stock, and we assume that the share count declines by around 22 million, to 880 million shares in the March quarter. In addition, we assume total share buybacks of about $35 billion in FY2014 and FY2015, compared with $40 billion over the past 12 months” it added

Shares of Apple (AAPL) closed at $538.79 on Thursday