“Shares of Apple (AAPL) are up $1.83, or 0.4%, at $489.05, after the company this afternoon confirmed weeks of speculation it will hold a media event next Tuesday, September 10th, at its headquarters in Cupertino, California,” Tiernan Ray reports for Barrons.
“Piper Jaffray‘s Gene Munster this afternoon offers up his thoughts on what to expect from the event, reiterating a view that the introduction of both a new high-end iPhone and also cheaper iPhone models will ‘mark the transition back to positive EPS growth,'” Ray reports. “Munster thinks Street estimates are too low, based on a belief that despite lower margin for the less-expensive iPhone model, already 70% of the company’s iPhone sales are ‘in the bag.'”
Ray reports, “Munster is modeling Apple making $190 billion in revenue next fiscal year ending September of 2014, with $44.03 per share in net profit. That is better than the Street consensus for $180.7 billion and $42.44 per share.”
Much more in the full article here.
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Gene, are you gonna embarass yourself in the next conference call again with stupid questions about what Apple is going to do with TV? (Hint: they aren’t gonna give away anything.)
Who needs next conference, when Gene embarrassed himself already right now? There is no way gross margin for iPhone 5C is going to be just 15% even if it will cost $299 (which would be a dramatic change in sales volume for Apple). Even iPhone 5’s component costs were $199 a year ago. And iPhone 5C is a iPhone 4S in a new enclosure and taller screen, which makes it really cheap to produce.
I think his estimates for 2014 eos is too low.
With potential china mobile through iphone 5c
Wearable computing through iwatch
And tv initiative all unfolding in the next 12 to 18 months an eps of 44 looks way too low.
I would suggest eps closer to 50+ by for fiscal 2014 ending September 2012 .
Correction.. I meant sept 2014
Who cares about margins? If you want those ridiculously high multiples you can’t waste your time worrying about profits. Its all about market share right?
And with current and potential further buybacks, that’s only going to increase EPS.
Waiting over a year for a measley 5S and 5C? With the 4S debacle, will Timmy “lobby the Supreme Court to socially reengineer America” Cook ever learn?
Not sure which of the two of you has more growing to do as a human being, you or Botvinnik.
Without the 5c, Apple would have sold the 5 along with the 5s as the discount version as it has done in the past. If anything, the 5c will bring in far higher margins than the status quo would have. To imply lower margins is just nuts.
Gross profit 15 % ??? U must be joking me .
More like 35%
Of course Gene knows exactly how much this unannounced iPhone will sell for and exactly what parts are in it and exactly what Apple’s price is for these parts. Yeah, right,