“As expected, the sell-side analysts skipped by Apple’s record-breaking results for the December quarter — the most profitable in the history of free-market capitalism — and focused instead on the company’s guidance for the March quarter, which some described as better than expected,” Philip Elmer-DeWitt reports for Fortune.
“Most analysts kept their positive ratings but cut their price targets,” P.E.D. reports. “In pre-market trading, Apple hares were down sharply.”
Katy Huberty, Morgan Stanley: Better than feared. We are positively biased given better than feared March guidance, a growing user base, accelerating services revenue and new iPhones later this year. Guidance incorporates a cautious macro outlook and sets up for a stronger iPhone 7 cycle… Management spent a lot of the conference call describing a “turbulent” global macroeconomic environment as major markets like Brazil, Russia, Japan, Canada, Southeast Asia and the Eurozone experienced slowing economic growth in 2H15. Most important, Greater China, especially Hong Kong, saw economic softness beginning in December. Overweight. Cut price target to $135 from $143.
Many more analysts’ notes in the full article here.
MacDailyNews Take: iPhone will be just fine.
Piper Jaffray: iPhone resume growth in 2016 despite poor macroeconomy – January 27, 2015
Apple highlights services in search of Wall Street’s love – January 26, 2016
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Apple beats on earnings; sets all-time records for revenue, net income, and EPS – January 26, 2016
MacDailyNews presents live notes from Apple’s Q116 Conference Call – January 26, 2016
Apple beats Street with all-time record quarterly earnings – January 26, 2016