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AAPL Trading Down
Stocks are shaky today after three days of gains. AAPL is trading down as investors await the June quarter earning report to be released on Tuesday, July 20, 2010 at 5:00 p.m ET. Other future catalysts include monthly NPD data (Mac / iPod business); iPad and iPhone 4 sales updates; and possible entry into the TV market. AAPL trades at 22x estimated fiscal-year 2010 EPS and 12x Enterprise Value / Trailing Twelve Months Free Cash Flow.
Apple Consistently Growing Earnings By 50% Each Year (Bullish Cross)
Andy Zaky believes Apple will enter a new golden age in 2010 with 70% earnings growth. This year, the company will produce 50% more in sales and over 71% more in earnings than it did last year. That means the 2010 company is nearly 50% larger than the company of 2009, almost an entirely different Apple. If this growth continues into 2011, Apple will surpass Exxon to become the largest corporation in America. I think he’s a fan.
iPhone Making Progress In The Enterprise (Bank of America Merrill Lynch)
The hardware research team headed by Scott Craig at BAML believes that the iPhone will make meaningful progress in the enterprise over the next several years, however growth won’t be entirely incremental as corporations leverage iPhones employees currently use. In a survey conducted, 19% of respondents use the iPhone in their organisation today, or ~10% market share. That is expected to double in a year. Approximately 11% of respondents expect to test and/or deploy the iPhone over the next year. Over 58% of respondents currently do not support or plan to support iPhone. That’s a lot of room to grow.
Let’s Play The Guessing Game: How Many iPads Did Apple Sell In Q2? (Fortune)
Given that Apple announced on June 21 that it had sold 3 million iPads since the launch, you’d think this question would be rather simple. Yet Wall Street estimates are all over the map, ranging from 2.5 million to 3.72 million units. I guess we’ll find out in a week and a half. One thing is certain, demand has significantly outpaced expectations and given Apple another star product and platform.
Apple Finally Taking On China, Launching Flagship Store (The New York Times)
Just as Google is granted renewal of its Internet licence in China, Apple is set to open its flagship retail outlet in Shanghai tomorrow. While Apple products do exceedingly well in China, the company has been slow to cultivate this market. That could change as it rolls out 25 retail stores over the next two years and launches the iPad and iPhone 4. Given Apple’s tiny market share currently, there is a ton of upside.
Daily Trader: Apple Looks Bullish On Money Flows (Learning Markets)
While AAPL lost some ground yesterday, there is some bullish pressure building. Looking at yesterday’s money flows, AAPL has an up/down money flow ratio of 102/100. The question is, will AAPL continue falling, or will increasing bullish sentiment around the quarter start pushing the stock price higher? AAPL has gained 3% during the past month and is trading below its 20-day moving average.