“Pacific Crest’s Andy Hargreaves expects that results should at least be in line with expectations, and with investors sentiment so low, this should be enough to send the stock higher,” Teresa Rivas reports for Barron’s.

“He reiterated a Buy rating on the stock Monday,” Rivas reports, “although he lowered his price target by $2 to $121 to reflect his slightly lower EPS estimates.”

We are slightly reducing our iPhone and Mac unit estimates to account for a potential slowdown in European consumer spending. This drives our F2016 EPS estimate to $8.37 from $8.44 and drives our F2017 EPS estimate to $9.03 from $9.31. — Pacific Crest analyst Andy Hargreaves

Read more in the full article here.

MacDailyNews Note: Apple reports Q316 earnings results after market close on July 26th.

On April 26th, Apple provided the following guidance for its fiscal 2016 third quarter:
• revenue between $41 billion and $43 billion
• gross margin between 37.5 percent and 38 percent
• operating expenses between $6 billion and $6.1 billion
• other income/(expense) of $300 million
• tax rate of 25.5 percent

Analysts consensus currently calls for $1.39 EPS and revenue of $42.03 billion.