“Another chapter of earnings reporting season for computer hardware companies begins next week when Apple Computer and Sun Microsystems deliver their latest quarterly reports,” Rex Crum writes for CBS MarketWatch. “Fewer companies could be further apart in terms of investor perception. Thanks to the iPod, Apple, has been flying high for nearly two years, while Sun has shown signs of returning to glory, yet is still trying to gain consistent momentum in taking on much larger rivals.”
Crum writes, “Analysts surveyed by Thomson First Call estimate Apple will earn 24 cents a share on $3.25 billion in revenue when it posts second-quarter results on April 13. Like many of Apple’s reports over the past year, the iPod will be in the spotlight, not just because of its own sales, but due to a perception that the iPod’s so-called ‘halo effect’ is leading to higher sales of the company’s Macintosh computers.”
Crum reports, “Ben Reitzes, an analyst with UBS, wrote in a research note that he expects Apple to earn 23 cents a share on $3.2 billion in revenue. However, he added that his estimates are conservative, and that the iPod and the iTunes music store could provide a boost to the rest of Apple’s business. The analyst pointed out that iTunes could provide a ‘Trojan horse’ that could ‘unlock additional opportunities in Macs and other Apple products that have not been introduced.’ Reitzes suggested that Apple could be developing new products such as a digital media hub and multimedia iPods.”
Full article here.
MacDailyNews Note: A reminder — even though it won’t stop the “Mac mini is a failure” articles reported with barely-contained glee from the usual suspects — Mac mini unit sales for the current quarter are constrained as Apple ramps up production from various reports. Estimates on the high end for Mac mini unit shipments range from around 150,000 units (Credit Suisse First Boston) to 200,000 units (Banc of America) for this quarter. The real story of the Mac mini won’t actually become clear until later this year.
Related MacDailyNews articles:
Research firm sees multimedia iPods, digital media hub, iTunes-like movie service, more from Apple – April 06, 2005
Apple announces 2nd Quarter 2005 financial results conference call webcast – April 06, 2005
Yeh-hesss. Daddy likes. I love watching my portfolio soar on this news. And don’t worry, MDN — in about six months when de Mac mini is dominating the low-end computer space, we’ll all look back and laugh at these analyst tools. Kind of like I now look back on Andy Richter’s career choices.
Heyyyyy, first post — for ME!!! Yippeeee!!! Yippeeee!!!
Come onnn . . . even for myself I say BIG FRICKIN’ DEAL!!!
It’s really odd that Apple always has trouble meeting demand with new products. If the company were inept in other ways, I’d say you could just chalk it up to mis-management. But they’re not inept, so I wonder if it’s some bizarre marketing strategy. Certainly is annoying.
Hairbo, I have wondered that for a while myself. I could understand such underestimating 5 years ago when the company had to be more conservative and not find itself holding thousands of computers in inventory. But to not invest in expanded production lines (or share the capital costs with your suppliers in China to do so) is beyond me. Especially when Apple is sitting on such a large cash position and can afford to ramp up and take a little more risk.
I have heard Steve say that Apple is about delivering cool/useful products first, and the profit motive is second or third (paraphrasing). But it still makes no sense to me (a heartless capitalist who thinks profits are the only thing in life that matters).
How sad that the so called Trimph is a afraid to do the suicidal jest that others dare to claim first post. IT had to wait until it saw it before claiming first post. I don’t know triumph’s gender but I hope it is not a girl – chicken
Hey, Marcie — First of all, it’s Triumph! TRIUMPH!
Here, I’ll spell it for you: T – R – I – U – M – P – H !
I don’t know who de hell ‘Trimph’ is!
No but really, I know ADD is rampant nowadays, but try and read my actual posts next time, okay? Yeh-hessss. If you had, you’d see that I made fun of the whole ‘First Post’ masturbatory glee that goes on around here. No seriously, remember the R.I.F. program? Yes — Reading Is Fundamental! Come onnn . . . it was in all de schools.
And Marcie, I really love how you carry the banner so very high for your gender. Yeh-heh-hesssss. You sound sooooo proud to have a vagina! But don’t worry — I like the fact that you have one!!!!
Hey, I keed the women!
Triumph
ROTFLMAO
Triumph, u are crazie! lmao
magic word “Girls” this is quite freaky MDN! stop it! lol
MDN- don’t offer excuses for poor execution on Apple’s part. If they were not able to meet demand with insufficient quantities (mac mini, shuffle, etc.), this is due to bad planning on their part. Apple will have to find a balance between the “surpise factor” of releasing new products, and the ability to meet the demand this excitement creates.
MDN Magic word is “plan”, as in better planning on Apple’s part.