Apple, on the way to $ 100,000M after receiving the iPhone 12
Everything indicates that Apple Inc (NASDAQ 🙂 will post a good quarter, based on the iPhone sales trend. The company is scheduled to release its results for the first quarter of fiscal 2021 on Wednesday, after the market closes.
Record earnings and EPS expected: Analysts, on average, estimate that Apple will report earnings of $ 1.41 per share on revenue of $ 103.28 billion for its first quarter.
Gene Munster of Loup Venture, a famous Apple analyst, estimates a year-on-year revenue growth above consensus, forecasting an increase of 19%, compared to the 16.70% forecast by Wall Street.
The company’s revenue is expected to exceed the $ 100 billion mark for the first time in its history, with the iPhone being the main culprit for much of the rise.
Apple released its most recent version of the iPhone, the iPhone 12, late last year. Its launch was delayed and carried out in phases. The new Apple model is available in four variants. All four models have 5G.
Other metrics: An estimated 90 million iPhones will be made during the quarter, Wedbush analyst Daniel Ives said in a note, referring to supply chain estimates.
Munster forecasts that the iPhone revenue share of total revenue will rise to 59% in the first quarter, from the typical range of 50%. The analyst expects iPhone revenue to rise 16% to $ 64.9 billion, compared to Wall Street estimates of $ 59.4 billion.
Service revenue, which accounts for 14% of sales, could have risen 18% year-on-year to $ 15 billion, the analyst estimates.
Munster expects Apple to end the December quarter with total cash of $ 185 billion, comprising $ 112 billion in debt and $ 73 billion in net cash.
Future Forecast: Apple is expected to report EPS of 91 cents on revenue of $ 74.54 billion for the first quarter. Consensus estimates for fiscal 2021 point to EPS of $ 4.03 on revenue of $ 318.9 billion.
Munster believes that accelerating digital transformation will be conducive to Apple’s revenue growth for years to come.
Ives said Apple has the potential to sell more than 240 million iPhone units in 2021, which could allow it to break the previous record of 231 million units recorded in fiscal 2015.
AAPL shares: Apple shares ended 2020 up about 82% at $ 132.69. After experiencing some weakness at the beginning of the year, the stock has recovered and is trading a modest 4.8% advance so far this year.
Apple’s valuation topped the $ 2 trillion mark last August, and if the company continues to advance at this rate, it could reach a market capitalization of $ 3 trillion in the next 12 months.
Apple shares closed Tuesday’s session at $ 143.16.
(Foto de Shiwa ID en Unsplash)