UBS analyst Ben Reitzes last night warned investors that Apple may exceed the analysts own estimates for iPhone sales in the final quarter of 2007.

"Our checks continue to indicate solid demand for the iPhone despite typical moderation in excitement from launch and extremely high expectations. Our findings point toward modest upside to our fiscal fourth quarter 2007 shipment estimate of 800,000 units," he wrote.

Reitzes observed Apple to be likely to reveal which mobile networks it will work with to distribute the device across Europe "within a month". He also predicts new features will be introduced to the device "over time".

The analyst has a 'buy' rating on the company's stock with a $175 target price.

RBC Capital analyst Mike Abramsky last week predicted 1.5 million iPhones would ship in the fourth quarter, against Apple's own one million sales estimate. Apple CEO Steve Jobs predicts ten million iPhone sales by the end of 2008.