“In the past three months, Apple set new sales and profit records for the quarter and wrapped up a fiscal year in which it blew past the $100 billion mark,” David Goldman reports for CNNMoney. “It sold an all-time record number of Macs and iPads.”
Goldman reports, “It sounds strange, but this is what a bad quarter for Apple looks like.”
“Despite those records, Apple’s revenue and earnings this quarter fell far short of Wall Street’s forecasts,” Goldman reports.
MacDailyNews Take: Wall Street’s been undershooting for seven years now. Now they’ve finally overshot. Either way, they still can’t get it right. The two greatest jobs in the world: Weather forecaster and Wall Street analyst. No accountability and you just keep getting paid.
“Those numbers disappointed investors expecting more, and shares of Apple fell 7% after hours,” Goldman reports. “At the market’s close Tuesday, the stock had finished regular trading at an all-time high of $422.24.”
“The Cupertino, Calif.-based company said its net income for the quarter rose to $6.6 billion, or $7.05 per share, up 54% from a year earlier,” Goldman reports. “Analysts polled by Thomson Reuters had forecast earnings of $7.39 per share. Apple’s sales rose 39% to $28.3 billion, but badly missed analysts’ estimates of $29.7 billion. The company’s sales for its full fiscal year, which ended Sept. 24, were $108.2 billion — a giant leap ahead of the $65.2 billion Apple raked in last year, but short of the $109.5 billion Wall Street forecast.”
MacDailyNews Note: On July 19, 2011, Peter Oppenheimer, Apple’s CFO, gave Q411 guidance of “revenue of about $25 billion” and “diluted earnings per share of about $5.50.”
Goldman reports, “Apple also finished the quarter with an ungodly $81.6 billion in cash, which the company said it intends to hang onto for possible acquisitions or unexpected bumps in the road.”
Read more in the full article here.
MacDailyNews Take: As of 6:23PM EDT, AAPL shares are off $27.04 (-6.40%) to $395.20 in after-hours trading. Anyone praying that the panic deepens or at least lasts until tomorrow’s open? Ready to back up the truck to fill it with discount AAPL shares?
Wall Street got ahead of itself on Apple; shares plummet in after-hours trading – October 18, 2011
Apple posts record revenue of $28.27 billion, misses Street expectations for first time since 2004 – October 18, 2011