Taylor Riggs for Bloomberg News::
Morgan Stanley’s Katy Huberty is the latest analyst to raise her price target into tomorrow’s Apple earnings report. She says Apple customers now appear poised to replace their smartphones sooner and features like a longer battery life and 5G technology imply that replacement cycles cannot increase much further. AirPods are another big reason for bullish sentiment Apple said. AirPods shipments are set to double to 60 million in 2019. Analysts at Bernstein’s said AirPods have outpaced the unit growth trajectory of the original iPhone and Apple Watch. Bernstein predicts airports generate 15 billion dollars of revenue in 2020. And finally Apple TV+. Apple was one of the latest to enter the crowded streaming wars in late 2019 with the service debuting at four ninety nine a month. At that low price analysts think Apple TV plus is priced for subscriber gains…
MacDailyNews Note: On October 30, 2019, Apple provided the following guidance for its fiscal 2020 first quarter:
• revenue between $85.5 billion and $89.5 billion
• gross margin between 37.5 percent and 38.5 percent
• operating expenses between $9.6 billion and $9.8 billion
• other income/(expense) of $200 million
• tax rate of approximately 16.5 percent
As always, as soon as Apple reports earnings, we’ll have them for you right around 4:30pm ET. Following shortly thereafter, we’ll have live notes during Apple’s conference call with analysts starting at 5pm EDT. Check our home page starting at 4:30pm ET for the results and around 4:45pm for the link to live conference call coverage.
[Thanks to MacDailyNews Reader “Fred Mertz” for the heads up.]