“With iPod sales still soaring, Apple Inc. reaped record profit during the holiday quarter and stands to remain a Wall Street darling despite issuing a second-quarter forecast that fell below analyst expectations,” The Associated Press reports. “‘Their guidance is always conservative,’ Piper Jaffray analyst Gene Munster said. ‘It’s a bunch of hoo-ha.'”
AP reports, “Apple didn’t disappoint during its last quarter and easily topped analyst targets. For the final three months of 2006, profit surged 78 percent after the company sold a record 21 million iPod players, or about 50 percent more than it did in the same period the year before. That’s an iPod sold for nearly every person in Texas. Sales of the iconic device accounted for $3.43 billion, or nearly half, of the company’s total revenue for the quarter.”
“Apple also shipped 1.6 million Macintosh computers, up 28 percent from the year-ago holiday season,” AP reports. “The Mac sales growth rate was more than triple that of the overall PC industry for the period, according to market research firm IDC. Apple’s share of the PC market in the U.S. also grew to 4.7 percent in the quarter, up from 3.6 percent a year ago, IDC said. ‘Apple is clearly at the top of its game right now,’ said analyst Samir Bhavnani at Current Analysis.”
Full article here.
Samir, you ain’t seen nuthin’ yet! And, yes “bunch of hoo-ha” is the official Wall Street term for Apple’s quarterly guidance.
Related articles:
IDC: Apple’s worldwide and U.S. Mac shipments were each up roughly 30% year on year – January 18, 2007
Analyst: Apple’s holiday-quarter Mac sales were solid – January 18, 2007
Apple smashes Street, posts revenue of $7.1 billion and record net quarterly profit of $1 billion – January 17, 2007
Net Applications: Apple’s Mac market share continues rise, now at 5.39%, up 31% year-over-year – December 01, 2006
Apple’s Mac market share surges, up 35-percent year-over-year as growth accelerates – November 01, 2006
Analyst: Apple has ‘real shot at dramatically expanding Macintosh market share’ – October 31, 2006
Analyst: Apple Mac gains market share, the reason why is significant – October 26, 2006
IDC: Apple Mac attained 5.8% of U.S. market share in Q3 06 – October 18, 2006
Gartner: Apple Mac grabbed 6.1% of U.S. market share in Q3 06 – October 18, 2006
Gartner: Apple Mac grabbed 4.6% U.S. market share in Q2 06 – July 19, 2006
IDC: Apple Mac attained 4.8% U.S. market share in Q2 06 – July 19, 2006
“‘It’s a bunch of hoo-ha.'””
Thats about the most sensible thing I’ve heard an analyst say all week.
Gotta love The Munster.
When’s the last time Mac was above 5% marketshare in the US?
Why has the stock gone so far down today?
According to Gartner, Mac share in US is 5.1%–that makes it 2 consecutive quarters of Mac share over 5%.
Hurrah!!
Apple is financially dumb – why on earth would you guide lower after such a quarter especially knowing that they will beal their estimates. STUPID!!!!!
“Why has the stock gone so far down today?”
1) profit taking
2) Mac sales were below analyst EXPECTATIONS.
“Why has the stock gone so far down today?”
Options expire on Friday. Use ’em or lose ’em.
@stupid CFO: Are you on crack or what?
why what’s wrong with what i said???
stupid CFO, maybe
Over-promise / Under-deliver = bad PR / stock crashes
Under-promise / Over-deliver = good PR / stock soars
I think Apple guidance was reasonable.
First, Apple probably hurt iPod sales by announcing the iPhone in all its glory. Many potential iPod (the full-size model) customers will wait for iPhone, or the unannounced (but obvious) touch-screen wide-screen iPod. It is likely Apple will wait until after the iPhone release to release the “6G” iPod, to avoid stealing attention and sales from iPhone. Apple TV will only be available mid-quarter, and its initial impact will not be that great compared to Mac and iPod sales.
Second, Leopard probably will not have impact on Mac sales until the April-June quarter.
Therefore, Apple will probably have a sales “lull” (relatively speaking) during the January-March quarter. Thus, the seemingly conservative guidance makes sense. It’s better to take the hit now after a record-breaking quarter than three-months from now, after a relatively dull sales quarter
I wonder if the stock will go back up tomorrow. This seems like a decent buying opportunity.
“Top of their game.”
What a dumb phrase. As if saying that it can only be downhill from here on. Typical limited mindset of the pc world.
Apple is financially dumb – why on earth would you guide lower after such a quarter especially knowing that they will beal their estimates. STUPID!!!!!<i>
ROFLMAO
<i>why what’s wrong with what i said???
Oh my, some people!
Because it reads like you believe that it is Apple CFO to dictate AAPL stock price. Thence, either you are on crack or stupid.
The best advice in both cases is: never look at stock market, it is above your understanding.
you have a problem with understanding english, do you?
You got it all wrong.
stupid CFO
ziggy had it right: “Under-promise / Over-deliver = good PR / stock soars”
That is what a clever CFO has to do: under-promise but still presenting it as a “we are doing that and it is a great wow result”. They you beat it.