All Eyes on Apple’s (AAPL) Third-Quarter Report

What's Happening With AAPL View more about AAPL >

One of the most closely watched tech leaders, Apple (APPL) reports its fiscal third-quarter numbers after the market close July 30. Analysts forecast earnings of $2.10 per share for the quarter, down from $2.34 during the same period last year. AAPL stock is up 31% on the year.

Technical Analysis

AAPL stock was recently trading at $207.92 down $25.55 from its 12-month high and $65.92 above its 12-month low. InvestorsObserver’s Stock Score Report gives AAPL a 65 long-term technical score and a 67 short-term technical score. The stock has recent support above $195 and recent resistance below $210. Of the 27 analysts who cover the stock 13 rate it Strong Buy, 2 rate it Buy, 12 rate it Hold, 0 rate it Sell, and 0 rate it Strong Sell, AAPL gets a score of 62 from InvestorsObserver’s Stock Score Report.

Analysts' Thoughts

iPhone maker Apple (AAPL) has come under pressure in recent years for slowing iPhone sales, but the company has done a fantastic job growing its services segment, which it sees as a primary revenue driver in the years to come. Last quarter the company posted better than expected numbers on both the top and bottom line, and cited strength in services revenue as a driving factor in the strong numbers. Apple no longer breaks out iPhone unit sales, but it does provide total iPhone sales, and this metric will once again influence Wall Street following the quarterly report. China is also a concern for the company, which relies heavily on China for not only production but also product sales. Apple recently applied to be exempt from tariffs the Trump administration has put in place against China, but no decision has been made yet on that request. The company will likely speak to the current situation with China and update investors on what impact it sees the current trade war with the nation having on the company’s bottom line moving forward. Apple has a good earnings track record, with 12 consecutive positive earnings surprises, and eight straight revenue beats. The street expects another positive earnings surprise with a whisper number of $2.18 for the quarter, which would push the stock higher as long as the company does not show any weakness in iPhone sales or predict a material negative impact on future earnings due to the ongoing trade war with China. AAPL stock is reasonably priced with a 16.1 forward P/E and analysts have an average price target of $213.34 on the stock.

AAPL
About Apple Inc.

Apple designs a wide variety of consumer electronic devices, including smartphones (iPhone), tablets (iPad), PCs (Mac), smartwatches (Apple Watch), and TV boxes (Apple TV), among others. The iPhone makes up the majority of Apple's total revenue. In addition, Apple offers its customers a variety of services such as Apple Music, iCloud, Apple Care and Apple Pay, among others. Apple's products run internally developed software and semiconductors, and the firm is well known for its integration of hardware, software and services. Apple's products are distributed online as well as through company-owned stores and third-party retailers. The company generates about 40% of its revenue from the Americas, with the remainder earned internationally.

  • Last Price:
    $235.32
  • Previous Close:
    $235.87
  • Change:
    $-0.55 (-0.23%)
  • Open:
    $236.39
  • Volume:
    21,641,051
  • Average Volume (100 Day):
    26,831,725
  • Market Capitalization:
    $1,063.5 B
  • Day's Range:
    $234.88 - $237.65
  • Dividend Yield:
    1.31%
  • 52-week Range:
    $238 - $142.00
  • P-E:
    18.70
  • EPS:
    $11.74
  • Earnings Date:
    10/30/19
  • Ex Dividend Date:
    8/9/19
  • Sector:
    Technology
  • Industry:
    Consumer Electronics
  • Analyst Average Recommendation:
    Moderate Buy

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