Apple’s Secret: This gem will move the market on earnings

“Apple has earnings due out today, January 26th after the market closes. While analysts and the main stream media will focus on iPhone sales, revenue and EPS, they are missing everything,” Ophir Gottlieb writes for Capital Market Laboratories. “Apple has become perhaps the most compelling large cap tech stock in the market, and this is why.”

“Yes, iPhone makes up more than 60% of Apple’s revenue, so this is where the hyper focus lies. Don’t worry about it,” Gottlieb writes. “Guesses, estimates and results all within 2% of each other mean nothing – regardless of how the stock reacts after hours and in tomorrow’s trade.”

Gottlieb writes, “Recurring revenue is everything and the company’s shift away from one-time hardware sales into a recurring revenue model could add 70% to the market cap even if earnings don’t increase it all.”

For Apple’s Q116 Conference Call — which we’ll be covering with live notes, as usual — Gottlieb lists what to really listen for:

I. iPhone Upgrade Program
II. Apple TV
III Apple Pay
IV. Apple Music
V. India

Read more in the full article – recommendedhere.

MacDailyNews Take: Exactly.

SEE ALSO:
What the analysts expect from Apple’s Q116 earnings report today – January 26, 2016
What to look for in Apple’s earnings report tomorrow – January 25, 2016
Apple to release Q116 earnings, webcast live conference call on January 26th – January 22, 2016

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