Apple is about to close the books on it third fiscal quarter with results and business updates scheduled to be announced after market close on Thursday, July 28, 2022. Apple investors are turning their focus to iPhone 14 which is set to appear this September.
Wedbush analyst Daniel Ives wrote in a research note Wednesday that iPhone demand in the June quarter appears to be slightly ahead of Street estimates, despite the supply-chain issues, saying the Street is well aware of potential weakness as it looks ahead to the new models.
Ives thinks initial production of iPhone 14 will be flat to up slightly from the last cycle, despite the “jittery” macroeconomic picture. He thinks Apple will benefit from pent-up demand, estimating that about 240 million of the installed base of roughly one billion iPhones haven’t been updated in 3½ years.
He also remains optimistic about Apple’s services business, which he expects to bring in $80 billion in revenue in the current fiscal year, and to continue to grow at double-digit rates in 2023
MacDailyNews Take: Many investors, and analysts, unlike Danny Ives, overlook or underestimate Apple’s services business.
A company with $80 billion in annual revenue would sit between Citigroup and Pfizer, 44th and 43rd respectively, on the Fortune 500.
Please help support MacDailyNews. Click or tap here to support our independent tech blog. Thank you!
Shop The Apple Store at Amazon.