“Just as the bearish sentiment in Apple (AAPL) hits a cyclical peak, the company is about to deliver the biggest earnings blowout in the history of the world. We’re talking about the mother of all earnings blowouts,” Andy Zaky writes for Seeking Alpha. “Well maybe not that big, but certainly the largest blowout in company history without question.”
“While everyone focuses on whether the passing of Steve Jobs marks the end of Apple, or whether the Amazon Kindle Fire will kill the iPad, the company is quietly selling millions upon millions of iPhones that far exceed even the most rosy expectations,” Zaky writes. “The largest company in America is about to grow its earnings by a whopping 84% this quarter, and Wall Street is asleep at the wheel.”
“We expect Apple to conservatively report that it shipped 32-40 million iPhones, far ahead of the 25 million iPhones that Wall Street expects out of the company,” Zaky writes. “That will be the largest gap between Wall Street expectations and actual results since the iPhone was first introduced in 2007.”
Zaky writes, “Yet, not only do we believe that Apple will comfortably ship 32 million iPhones without a hitch, we think our expectations will actually prove too conservative. In fact, we believe that Apple will actually end up reporting sales of more than 35 million iPhones which will cause the heart attack of at least several hundred short sellers.”
Read more in the full article here.