Apple stock weighed down by negative sentiment

“Apple stock is burdened by concerns about iPhone sales ahead of the company’s September quarter earnings report next Tuesday,” Patrick Seitz reports for Investor’s Business Daily. “Susquehanna Financial Group analyst Chris Caso on Thursday lowered his expectations for Apple ‘to reflect more conservative assumptions regarding iPhone 6S and 6S Plus sell-through in second-half 2015.’ However, Caso reiterated his positive rating on Apple stock with a price target of $155.”

“Available data suggest that initial sales of the ninth-generation iPhones are not as strong as Caso and others had expected. ‘We therefore have less confidence that iPhone can post year-over-year growth off last year’s tough compares,’ he said in a report Thursday,” Seitz reports. “The pullback in Apple’s shares recently indicates that investors no longer expect year-over-year iPhone unit sales growth in the December quarter, Caso said.”

“Apple’s fiscal fourth-quarter results will include only two days of sales for the new iPhones, compared with eight selling days for the prior year’s model, the iPhone 6,” Seitz reports. “The bulk of the initial iPhone 6S series sales will occur in Apple’s fiscal Q1.”

Read more in the full article here.

MacDailyNews Note: Apple’s conference call to discuss fourth fiscal quarter results is scheduled for Tuesday, October 27, 2015 at 2:00 p.m. PT / 5:00 p.m. ET. As usual, we expect earnings results after market close, right around 1:30pm PDT / 4:30pm EDT.

We’ll bring you the results as soon as they are available and follow that up with live notes from Apple’s conference call. Check our home page around 4:30pm EDT for the results and around 4:45pm EDT for the link to our live coverage.

On July 21, 2015, Apple provided the following guidance for its fiscal 2015 fourth quarter:
• revenue between $49 billion and $51 billion
• gross margin between 38.5 percent and 39.5 percent
• operating expenses between $5.85 billion and $5.95 billion
• other income/(expense) of $400 million
• tax rate of 26.3 percent

[Thanks to MacDailyNews Reader “Fred Mertz” for the heads up.]

18 Comments

        1. Stock price= PExEPS
          Or PE = Price/EPS
          looks like linear function to me….

          Maybe What should say is: since when has stock price been a linear function if company performance !

            1. You are correct!
              But your first post is a bit confusing, or incoherent as a response to my post!
              Eps is not constantly changing.. It changes on quartely bases..but PE constantly changes! ( depending on market psychology )
              Given a particular eps… The stock price has a linear relation with PE
              The lower the pe .. Lowe the stock price.
              And PE of 13 vs average of 15-16 for aapl..and a peg of 0.4.. Are not indicitive of a stock that is being held high by positive sentiment!

              Is fear and speculation and Fud that iare keeping the pe low and price down .
              Apple ( imho) should be trading around 130 to 140 …Now

  1. Maybe the projections are more realistic and will help Apple look good when they blow the numbers away next week.
    Hopefully this is a sign that the stock is in for a surge. Stock has been up for 3 days in a row.

    1. “The pullback in Apple’s shares recently indicates that investors no longer expect year-over-year iPhone unit sales growth in the December quarter, Caso said.”

      What a total load of crap! Apple is down cause:
      The moon is blue
      Obama is president
      Isis is ……
      The moon is made out of cheese.
      Etc

      Just stupid anal.. Ysts

  2. It seems Apple has been held down by negative sentiment for years. Big investors don’t view Apple like they view Amazon or Google. Heck, even Microsoft has more positive sentiment than Apple. A 30+ Microsoft P/E proves that much. Apple shareholders appear to be sitting on a time bomb of an investment. They’ll never know when it’s going to explode into tiny fragments as everyone says it will.

    I still don’t get why all the fuss over Apple’s earnings report. Most of us are fairly certain the stock is heading south no matter what transpires. It’s a given. Just as certain as Amazon and Google will continue to climb in share value. Icahn was recently calling for more Apple share buybacks for reasons I can’t fathom as though $140 billion down the toilet wasn’t enough.

    1. “It seems Apple has been held down by negative sentiment for years.”

      This and other whining following it must refer to some other Apple stock. The one that my wife and I own has made us a huge sum of money.

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