Apple had better deliver big fireworks – or else

“Now that the Greek elections came and went with nothing more than a murmur, markets-wise, traders now turn their attention to Apple, the straw that stirs the tech drink,” Shawn Langlois writes for MarketWatch. “And if that straw follows up Microsoft’s drab quarterly results with anything other than Wall Street catnip, the market’s reaction promises to be a bit more gutting.”

“How important is Apple to the IT sector? The blended earnings-growth rate for the entire group is 3.8%. Take Apple out of that, and the growth rate is basically flat, according to FactSet,” Langlois writes. “Not much room for disappointment here.”

“But considering Apple’s momentum in recent months, don’t bet on anything other than fireworks. Big numbers are expected, and big numbers almost certainly will be delivered. Just ask the options market, where Ophir Gottlieb of Capital Market Laboratories says risks are running high,” Langlois writes. “(How high are they running?) ‘Higher than at any point in the last year, including four prior earnings releases,’ he warned. “’So buckle up. The information Apple is about to share is enormous.'”

Read more in the full article here.

MacDailyNews Note: Apple will report earnings on Tuesday. We will post the results as soon as they are available, right around 1:30pm PST/4:30pm EST.

As usual, we will cover the conference call with live notes. Check our home page at approximately 1:45pm PST/4:45pm EST for the coverage link.

Related articles:
Apple CEO Cook set to tackle five key questions in earnings conference call today – January 27, 2015
Apple to webcast fiscal year Q115 results conference call on January 27th – January 23, 2015

14 Comments

    1. And then they will announce a NORMAL second quarter and the market anal…ysts will announce DOOM for Apple.

      You may notice that Apple and microsoft dropped today. SO did EVERYONE else. But its doom for Apple, price over extended, etc.. (Ps do not take into account profit takers trying to peak before the evening announcement.

    1. Honestly, or else what? The company is still making money hand over fist. So nobody is going to fire Tim Cook or get in his way. He is making a lot of people rich.

      These so called financial experts are idiots. With all the businesses loosing their shirts they go and pick on Apple. Give me a break.

  1. Apple will deliver historic results. Results that smash their guidance for the last quarter. But the game is rigged by these Wall Street chumps, who pick some sky high crazy assed numbers and then punish APPL 15% as per their plan.

  2. There has been a lot of predictions about the iPhone’s stellar sales which could set expectations too high. So the market may already be set for a fall.
    I want to be the optimist and say that Apple’s results will be met positively. However that usually happens when Apple surprises the market. On the other hand these results could demonstrate that Apple is back as kings of smartphones and that bodes well for future growth. The growth in China could be key since it represents Apple taking over emerging markets.

  3. Apple doesn’t HAVE to do anything. It’s not Apple’s job to prop up Wall Street. And what happens if Apple doesn’t deliver blockbuster numbers (or even when it does)?

    Nothing different for Apple. Articles will be written about the results regardless, with everyone tossing in their two worthless cents. But Apple will continue to follow its strategic map, adapting along the way as it always does, and will continue to put out fantastic consumer products.

    And basically telling Wall Street to go pound sand, either happily or sadly.

  4. Beware irrational exuberance. As market watchers are warning, nothing goes up forever. The expected iPhone sales numbers may already be baked into the stock price. On this date in 2010, Steve Jobs introduced the iPad. Will Apple have another blockbuster product in 2015?

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