“Expectations were low for Apple’s third-quarter results yet they blew past Wall Street estimates, sending shares 6.6% higher in recent Wednesday trading to $103.01,” Teresa Rivas reports for Barron’s.
“Apple bulls are breathing a sigh of relief as the results suggest the company can deliver growth with future products. We agree, and think the stock, which remains more than 20% below its 2015 high, is a buy,” Rivas reports. “‘The big picture is that iPhone sell through has sustained somewhat better than we had forecasted, and therefore we expect year-over-year declines more moderated over the next two quarters before a return to growth in March,’ writes Raymond James’ Tavis McCourt, who upgraded Apple from Market Perform to Outperform, with a $129 price target on the earnings report. ‘We expect the 2017 iPhone product cycle to be better than average.'”
Rivas reports, “‘We continue to believe that Apple will return to growth in Dec 2016 via consumer interest in the iPhone 7 combined with easier comparable sales,’ writes Piper Jaffray’s Gene Munster, who notes that disappointment with the next iPhone model — which should launch this fall — remains one of investors’ biggest concerns ‘suggesting that a super cycle is not priced in and investors are not looking past this year’s device.'”
Read more in the full article here.
MacDailyNews Take: Even without a unique exterior design, there is much pent-up iPhone demand just waiting for the iPhone 7. We believe Apple’s next-gen iPhone series, due in less than two months, will be significantly more compelling than the widespread “this year’s iPhone will be boring” meme claims.
SEE ALSO:
Analyst: Apple’s iPhone 7 will see 12% growth over iPhone 6s – July 11, 2016
Study: Half of all current iPhone owners will upgrade to Apple’s next-gen iPhone – July 7, 2016
Pacific Crest: iPhone users grew by over 70 million during the iPhone 6 cycle and will drive significant growth in upgrade volume – May 23, 2016
I am certain Apple will do much better. I doubt that Tim Cook would be responsible for Apple’s reversal of misfortune.
One thing I can say is there are definitely no investors asking to fire Jeff Bezos or Elon Musk for not looking out for shareholders. You won’t find dozens of articles about how badly Jeff Bezos is doing with building Amazon. Same goes for Elon Musk with Tesla. Investors and analysts consider those CEOs as though they were living gods. True worship. Do you see anyone worshiping Tim Cook as a CEO? Absolutely not. He might as well be the devil as far as Wall Street is concerned.
As you can tell, annual income for a company simply doesn’t count for much. Amazon has a P/E of over 300 and Apple’s earnings dwarf Amazon’s earnings. Tesla is burning cash like crazy and investors are dancing in the streets every time Musk speaks. Everyone and his mother critiques Apple as a dying company. That’s just the way it is.
Apple is constantly trashed despite having the largest market cap and earnings. There are an awful lot of people who are dissatisfied with how Apple is being run. Certainly more so than how Amazon is being run.
Apple will never be worth much more than it is now as long as Tim Cook is around. I truly believe Wall Street doesn’t like him in any way at all due to his lax attitude and shareholders are going to have to pay for his sins. Apple was once considered the 800 lb. gorilla in the room, now the company has become a tame, stuffed monkey. Pathetic.
Thanks for your stream-of-consciousness ramble, with no insight – as always. You and Frank seem incapable of any semblance of original thought or analysis.
Perhaps WS is looking for huge amounts of money moving ‘through’ a business and not just piling up in multiple locations while at the same time accruing debt (as smart as it may seem) to pay dividends and buy back shares.
The only misfortune I see is the day you showed up on MDN posting your half-vast inanities and halfwit diatribes based solely on your experience as a juvenile troll knucklehead living in a van down by Loser River.
They wanted to remove Elon Must from Tesla as well.
Here’s Why Tesla Motors Might Be Better Off Without CEO Elon Musk
http://finance.yahoo.com/m/c178d9b0-0fe1-35d0-9f21-638eef25ed29/ss_here%26%2339%3Bs-why-tesla-motors.html
Wall Street should start up its own companies, so it could run its own companies.