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AAPL Sideways Despite Positive Analyst Reports
Markets are tumbling in early trading, giving back some gains from yesterday. Shares of AAPL opened in the positive but are currently trading down to flat. Apple will report calendar first quarter earnings on Tuesday, April 24 at 5:00pm ET. Additionally, Tim Cook will be the keynote speaker at the D10 Conference on May 29. Investors are looking for the new iPad adoption; iPhone penetration, especially in China and emerging markets; market share growth of the Mac business; the evolution of Apple TV; and platforms such as Siri, iAd, iBooks and Ping. Shares of Apple trade at 11.6x Enterprise Value / Trailing Twelve Months Free Cash Flow (including long-term marketable securities).How Many iPhones Did Apple Sell Last Quarter (Fortune)
Philip Elmer-DeWitt at Fortune polled 48 analysts, evenly divided between professional and independent (per usual, the indies have gone considerably further out on a limb than the pros). Wall Street ranges from a high of 33.1 million to a low of 26 million with the average being 30.5 million, or 63.8% year-over-year growth. The average estimate from the pool of independent analysts is 37.2 million iPhones, which would represent an increase of 99.9%. That’s a lot of iPhones.
Don’t Believe The Carrier Talk, Apple Is A Screaming Buy Says Goldman (Business Insider)
Goldman Sachs analyst Bill Shope has a big, bullish note out on Apple this morning. He’s telling people to buy the stock headed into next week’s earnings report, which will be another monster, according to Shope. He also says all of the recent concerns about Apple’s stock don’t make sense. Shope raised his price target to $750 from $700, and took on all the recent investor concern about Apple.
The iPad Mini Would Deal A Final Blow To The Competition (Apple Insider)
A new iPad model with a smaller form factor is an inevitability, in the eyes of Sterne Agee analyst Shaw Wu, though Apple is not expected to imminently release such a device. Since 2009 he has heard that Apple was experimenting with screen sizes ranging from as small as 4 inches to as large as 12 inches. The “iPad mini” is a “question of when, not if” from Apple. He believes it would make strategic sense for Apple to expand the iPad family to boost sales and “would be the competition’s worst nightmare.” Here are all the iPad mini rumours.
The Next iPhone Will Be The Biggest Smartphone Release Of All Time (Business Insider)
When a consumer pays $200 for an iPhone, Apple collects $600 on the sale and the carrier subsidizes the remainder. The carriers could, in theory, lower that subsidy. However, it’s not going to happen. Apple is ready to release a new iPhone in the September-October time frame, and Goldman Sachs analyst Bill Shope says, the “launch is likely to be one of the most important smartphone product cycles we’ve seen to date.” He finds “it very hard to believe that a large number of carriers will lower subsidies and risk share loss during this launch.” And he’s right.
Apple Stores Make $6,000 Per Square Foot Of Retail Space (Asymco)
According to data from RetailSales, Apple Stores lead in sales per square foot by an astronomical margin. Sales of $300 per square foot and above is considered respectable, with the average for U.S. malls being $341 and the average jeweler hitting $600. Apple blows these numbers out of the water, fetching just over $6,000 per square foot for its stores. Apple not only leads in absolute performance, but also in growth at ~70%.
Apple And Samsung Head Into Settlement Talks (Reuters)
Apple and Samsung agreed that their chief executives would participate in settlement talks to try to resolve the patent lawsuit. The two companies are engaged in a legal battle that includes more than 20 cases in 10 countries as they jostle for the top spot in the smartphone and tablet markets. Along with Apple chief executive Tim Cook and Samsung CEO Choi Gee-sung, both companies’ general counsels will also participate according to judge order.
United Airlines CFO Going To Apple In Non-Financial Role (All Things Digital)
Zane Rowe, executive VP and Chief Financial Officer for United Continental, has a new job at Apple. Rowe, who has served as United’s CFO since October 2010, is leaving the airline for an high-ranking sales position. “We are thrilled that Zane Rowe will be joining us as one of our vice presidents of sales,” says spokesman Steve Dowling. “He built a great team at United and we think he is going to do a fantastic job at Apple.” From CFO to a VP of Sales? Quite a career change.
Job Posting Suggests Apple Still Very Interested In 3D Tech (9to5Mac)
Apple has filed many patents for 3D technology over the years. But recently the company posted a new “Computer Vision specialist to strengthen its multi-view stereo research group” job opening on its careers website suggesting the company has continued pursuit to integrate 3D technology. So far this has not been done. It will be interesting to see what 3D technology Apple includes in the upcoming versions of iOS and perhaps even the rumoured iTV
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