“Over the past two weeks eight Apple sell-side analysts have lowered their iPhone, revenue and EPS projections and/or price targets,” Chuck Jones writes for Forbes. “Their notes are the main reason Apple’s shares have been under pressure and reached what I believe is a buying opportunity. ”
“I remember a CFO of a large software company telling me that every quarter is the most important one ever to analysts, so in reality don’t get too worked up over it (unless there is a material difference to expectations),” Jones writes. “One key ingredient to investing in a company is that the CEO can manage for the future and make the right decisions. I believe Tim Cook is the right person to do this for Apple.”
“I have averaged the iPhone unit estimates from the 10 sell-side analysts I have recently received reports. Their average December quarter iPhone estimate is 75.4 million with a range of 74 to 78 million and the March quarter average is 55.3 million with a range of 52 to 63 million,” Jones writes. “As a point of reference as of Sunday, December 27, Yahoo Finance had Apple’s fiscal 2016 EPS estimate at $9.74 and fiscal 2017 at $10.70. It is showing Apple’s revenue to be $242 and $257 billion in fiscal 2016 and 2017, respectively.”
Read more in the full article here.
MacDailyNews Take: Estimates of $242 billion in revenue in 2016 and $257 billion in 2017. Just let that sink in.
SEE ALSO:
Apple crashes into bear market: Poof! $150 billion up in smoke – December 18, 2015
RBC cuts Apple price target to $140, citing iPhone supply chain concerns – December 17, 2015
Piper Jaffray: Individual component suppliers are not indicative of the health of Apple’s overall iPhone business – December 16, 2015
Apple stock slumps on Dialog Semi warning – December 15, 2015
Analysts baselessly warning of ‘Peak iPhone’ allow Apple to buy back even more outstanding shares – December 15, 2015
Apple suppliers hit by Morgan Stanley’s iPhone sales forecast – December 15, 2015
Some analysts see Apple iPhone sales seen turning negative in 2016 – December 14, 2015
Cramer: Apple shares may not have momentum but they’re cheap – December 14, 2015
Morgan Stanley slashes Apple price target by 12%; shares fall in pre-market trading – December 14, 2015
Apple stock slides on Credit Suisse claims of iPhone component order cuts, weak iPhone 6s demand – December 2, 2015
UBS analyst’s latest ‘research’ note on Apple is just another ‘actionable’ note and should be totally ignored – November 16, 2015
Apple shares continue to get slammed on commission/bonus related ‘actionable research’ – November 10, 2015
Apple lower after Credit Suisse notes substantial supply-chain cuts – November 10, 2015