Apple shares could very well rally on “better-than-feared” earnings, even if quarterly numbers are not that great, according to CNBC’s Jim Cramer
“I know it’s a big week for earnings, but I’m really focused on Apple,” Cramer said Monday on “Squawk Box. ” “There’s a lot of thought that Apple, people are so bearish on it, that it can rally on a subpar number.”
Analyst estimates call for adjusted Apple earnings of $2.10 per share for its fiscal third quarter. That would be a 10% drop from the year-ago period… If Apple were to eke out a quarterly beat when it reports after the bell Tuesday, that may be enough to also continue an uptrend trend in the overall stock market, Cramer added. “That’s been the theme: When you have this better than feared, the stocks go higher,” he said. “It’s all about better than feared. People really feared this earnings period.” He added, “It turns out that that fear was not justified.”
MacDailyNews Take: Yup.
People tend to fear the worst. It almost never happens. – MacDailyNews, May 14, 2019
As usual, we’ll bring you Apple’s results right around 4:30pm EDT on Tuesday and then cover Apple’s conference call with analysts with live notes starting at 5pm EDT.