Above Avalon’s Apple Q419 Revenue Guidance Expectation Meter

Neil Cybart for Above Avalon:

Apple finds itself in a financial tug-of-war as declining iPhone revenue is being offset by growth in every other product category. When Apple reports 3Q19 earnings on Tuesday, we will get the latest snapshot of how this tug-of-war is playing itself out.

While the press remains infatuated with the storyline that slowing iPhone sales are driving Apple to become a services company, which isn’t true, such an intense focus on services is leading to a lack of attention being given to the incredible growth seen with Apple’s wearables platform and the turnaround story underway with the iPad business.

Above Avalon's Apple Q419 Revenue Guidance Expectation Meter

MacDailyNews Take: Guidance is important, but as Cybart notes, “FY4Q revenue guidance is heavily dependent on product launch timing in September. This produces a situation in which light guidance can be explained away more easily than in any other quarter.”

We’ll know for sure is Apple’s guidance will be perceived as strong, weak, or within expectations right around 4:30pm EDT today. Check our home page for results then!

In his full article, see Cybart’s other expectation meters:

• iPhone revenue
• Non-iPhone revenue
• Products vs. Services revenue

1 Comment

  1. The bottom line is Apple is no longer a trillion-dollar company, so there must be a plausible reason for that. Apple is seen as a weak, low- to no-growth company. Simply put, the only major tech company being seen that way. It’s likely future guidance will be below expectations as long as we’re having some spat with China.

    To paraphrase, “Well, Tim, that’s another fine mess you’ve gotten us into.” /s

    Let’s not jump the gun. Earnings at 4:30 EST will reveal all.

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