Horace Dedieu, one of my favorite numbers people, offered more optimistic guidance of $45.3 billion, with EPS of $1.62.
Apple offered guidance of revenues between $43.5 billion and $45.5 billion, with gross margins between 37.5 and 38.5 percent. That puts consensus estimates squarely in the middle of Apple’s guidance, with Mr. Dedieu edging towards the high end.
According to Reuters, 15 analysts have Buy ratings on Apple, while another 19 have Outperform ratings. 11 have $AAPL on a Hold, while 1 has an Underperform. None have a Sell rating.
While Apple offers excellent guidance these days, it’s important to remember that $AAPL’s price is set not by that guidance, but rather Wall Street’s expectations.
Shares of $AAPL ended the day lower at $148.73, down $0.77 (-0.52%), on moderate volume of 19.7 million shares trading hands.
*In the interest of full disclosure, the author holds a tiny, almost insignificant share in AAPL stock that was not an influence in the creation of this article.
Apple had $2.33 EPS Q2 2015 and then $2.10 EPS Q2 2017.
So declined over the 2 years. Quarter report this evening will need to be higher than $1.85 EPS to once again start growing.
Do we think that will happen?
There are far better options to invest where companies are growing instead of declining.
I miss the old days when Apple would blow all the earnings estimates out of the water! And the stock would soar the next day!