“Apple Inc.’s next earnings report will include just 10 days of iPhone XS and XS Max sales and no iPhone XR sales, but Wall Street will be combing the company’s commentary for indications of demand for those new devices heading into the holidays,” Emily Bary writes for MarketWatch.
“In many respects, Apple is well-positioned for its most crucial season, thanks to a trio of pricey new smartphones meant to appeal to a broad consumer base as well as what seems to be a decent balance of supply and demand,” Bary writes. “Still, Apple must contend with trade tensions that threaten to hinder Chinese demand as well as an elongated smartphone cycle that’s kept it from meeting unit-sales estimates over the past few quarters.”
“The key test for Apple is whether pricing and a reasonably exciting iPhone slate will outweigh those issues and keep Apple’s valuation higher than $1 trillion,” Bary writes. “While Wall Street will be looking at Apple’s September-quarter numbers to gauge initial demand for the iPhone XS and XS Max, it will likely be more concerned with what executives have to say about the holiday period when Apple delivers fourth-fiscal-quarter results Thursday after the bell.”
Read more in the full article here.
MacDailyNews Take: As usual, Apple’s guidance is key.