“It turns out Apple Computer was saving the bad news for later. A week after announcing that it posted better-than-expected sales in its holiday period, the company forecast results for its current quarter that were much lower than analysts’ forecasts. The market’s immediate take was a negative one: in recent after-hours trading, Apple’s shares were off $5.42, or 6.6%, to $77.07,” Troy Wolverton reports for TheStreet.com.
“In its quarter ended Dec. 31, Apple earned $565 million, or 65 cents a share, on $5.75 billion in sales. That was up from the year-ago period, in which the company earned $295 million, or 35 cents a share, on sales of $3.49 billion,” Wolverton reports. “Excluding options costs, the iPod maker would have earned $595 million, or 68 cents a share. But while the just-completed quarter was a good one for Apple, the company offered disappointing results for its current period. The company expects to earn 38 cents a share — or 42 cents a share excluding options costs — on sales of $4.3 billion. Wall Street had previously predicted that the company would earn 48 cents a share before costs in the current quarter, on $4.62 billion in sales. In the same period last year, Apple posted a profit of 34 cents a share — also not including stock options costs — on $3.24 billion in sales.”
Full article here.
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If you want to make some money on AAPL stock…Buy…Now…
I say BUY. Even at $77.07 it’s worth more than Dell or Microsoft.
They are smart to lower their forecast for the next quarter.
No one can sustain that kind of growth quarter after quarter and Apple knows that. The hope is to lower expectations now and then shock-and-awe later.
That’s exactly what they’re doing. They’re being ultra conservative now, so if there is any “shock” later, it will be a very positive one.
This dickhead Wolverton is such a lackey. He hates Apple and loves to get his shots in whenever he can even if he isn’t right. He hasnt been right about Apple maybe ever and he’s trying to make up for lost time.
It’s almost as if he savors the idea that bad things can happen to Apple.
Golden opportunity to buy! Share price is going to go into some kind of crazy orbit when Apple announce the ‘mobile me’ products in a few months time.
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This is Apple *managing* the hype.
Said it once, will say it again: a 30%+ rise in revenue when compared with the same quarter 12 months ago is little short of spectacular, especially in a crowded and competitive market.
This guy is an asswipe.
Somebody had to say it!
Massive profits no matter what. Apple is strong.
Watch the stock rebound in the next few days if not tomorrow since they are still saying this Q will be the second best Q in apple history.
Wolverton will eat his words. Just like he usually does.
Ohhhhhh, man oh man oh man . . .
How I wish I had about $10 grand, hell even $5 grand, lying around.
What a sweeeeeeet motherf-cking buying opportunity.
The stock is already back up over $79 in after hours trading. It was down around $76 just 30 minutes ago. The overreaction is already being reversed.
^ Hey, Troglodyte-
I DO have nearly $10,000 lying available, so all I can say is . . .
THANK YOU TROY WOLVERTON YOU BREECH BIRTH IDIOT!!!
Carson >
Actually, I think you might find with Troy that the midwife threw away the baby and kept the placenta.
Apple is dying LOL
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Ups and downs in the market are normal, Intel is suffering as well, it’s part of the whole PC sales slowdown.
People are holding their breath for Vista and dual core computers required to use it.
With Apple it’s mainly the home consumer market which just benefited from the real estate bubble that’s now deflating.
We are going to enter a time of tightening our belts because of huge mortages and some got stuck buying too high and can’t sell.
Salaries in the US have not increased to meet the new prices for basics we are seeig in the stores or for housing.
Heck it used to be we could eat out regularly for $5 for lunch, but now it’s $10 and up. Dinners are up too.
High prices for fuel which is double what it used to be a few years back isn’t helping much either.
Heck we invaded Iraq, the least we can get is a few years of free oil out of them and get these gas prices back down again.
From: Sir. OMF
Jan 18, 06 – 02:23 pm
“Every time a Quarterly report comes around Apple shares drop, they will also drop in after hours trading and drop tomorrow. Look back at the stock history this pattern has been around for a long time.”
As I perdicted…
As a hobby, Troy Wolverton is working on a new book. It’s his own family recipes spanning several Wolverton generations. The main and single most important ingredient in every recipe is fresh crow. MMMMM! That’s might tasty!
It’s déja vu all over again.
Any thoughts that this is related to Burst.com and the last minute revision/deduction of potential revenues of a video service…?
MDN: “fact” as in Jack.
Look, we all knew that some consumers would hold off making a computer purchase until the new Intel based Macs hit the market. Let’s see what happens to sales for that respective segment of the market when the new Macs are rolled out.
The real danger the computer market in the United States faces is when their housing bubble bursts, or is arrested by increasing interest rates from their historic lows.
The American economy is experiencing a huge spending boom and a current accounts deficit and the way the average American is paying for this is by borrowing against the value of their properties.
When the correction takes place; and it will take place then American consumers will tighten their belts and discretionary spending by business and consumers will contract. One part of discretionary spending is computer sales. The world doesn’t come to an end because you can’t buy the latest computer, it does if you can’t pay for food or pay your electricity bill
I didn’t even talk about government spending and that’s another story all together. That’s what everyone with half an ounce of economic sense is waiting for…the correction.