Posts At Eventide

Apple: March Quarter Expectations After Record FQ1 Results

2012-01-24T20:39:00.000-08:00

On Tuesday Apple announced record quarterly revenue of $46.333 billion and record eps of $13.87 in the December quarter. The 73.2% rise in revenue and 115.7% rise in earnings per share were fueled by strong domestic demand for iPhones, iPads and Macintosh personal computers and by gross margin in the quarter of 44.7%.In announcing the company's FQ1 results for the 14-week period, Apple offered

Apple's "Monster Quarter" Will Deliver Monster-Sized Results

2012-01-07T22:58:00.000-08:00

Apple stands at the threshold of becoming the nation's largest technology company. Apple will soon surpass Hewlett-Packard in quarterly revenue while delivering more than $.25 of each revenue dollar to the net income line. By the end of this month and in response to the company's December quarter results, Apple will again surpass Exxon-Mobil in market cap to become the nation's most highly

Apple's Monster Quarter And The Pending Share Price Advance

2011-12-25T18:28:00.000-08:00

Apple is unique among America's mega caps due to the company's ongoing rates of revenue and earnings growth. From $108.25 billion in revenue reported in the fiscal year ended in September, Apple will surpass $170 billion in revenue this fiscal year and reach over one-quarter trillion dollars in revenue in FY2013. At a current market cap of $375 billion, the shares trade at about 14.5 times

Apple's Ghost Of Christmas Yet To Come

2011-12-11T10:41:00.000-08:00

In the famous novel by Charles Dickens, Ebenezer Scrooge is visited on the night before Christmas by Ghosts of Christmas Past, Present and Yet To Come. The story, which has endured many popular adaptations, ends with the conversion of a miserly and miserable man to a gentleman who carries with him the hopeful and generous spirit of Christmas to the end of his years.I have followed Apple since the

Where Apple Makes Its Money

2011-12-04T23:16:00.000-08:00

In the past ten years Apple has transitioned from being primarily a personal computer maker with annual revenue of just over $5 billion to a global enterprise with literally twenty times the revenue, retail store locations around the world and four major product lines including the popular iPhone line of smartphones. Today I'm taking a look at where the company now makes its money. Over 60% of

Apple's $170 Billion Fiscal Year

2011-11-26T18:11:00.000-08:00

On September 25th, Apple entered its current fiscal year with the strongest product line in the company's storied history. In a recent article titled Apple's 25% Solution, I provided an overview of Apple's extraordinary FY 2011 revenue and earnings growth performance, including the nearly 25% of recognized revenue that flowed to the net income line. Today I'm publishing my preliminary revenue and

Understanding Apple's Rates Of Growth

2011-11-19T18:13:00.000-08:00

Apple's 21st Century Renaissance Since the start of the new millennium, Apple has become among the nation's most highly valued enterprises measured by market cap, the world's largest distributor of music, a major global retailer and the biggest mobile device maker when ranked by revenue. Apple's rates of growth over the past six years have been so strong, in FY 2011 revenue surpassed $100 billion

Apple's 25% Solution

2011-11-06T21:54:00.000-08:00

Make no mistake: Apple is primarily a hardware device maker. From beginning to end and at every spot in between, the company is focused on the sales of hardware devices and the development of high margins on products sold. The nearly 25% of recognized revenue that flowed to the net income line in FY 2011 is what I call "Apple's 25% solution." It's Apple's formula for consistent earnings growth

Apple's Unrelenting Mac Attack On The PC Market

2011-10-29T21:44:00.000-07:00

In Apple's most recent fiscal year ended in September, the company's Macintosh line of personal computers generated revenue of $21.783 billion, representing 20.12% of Apple's $108.249 billion in reported revenue. The Mac's $4.304 billion gain in revenue during the fiscal year represented 10% of Apple's $43 billion in revenue growth. Although the $21.783 billion in revenue generated from Mac sales

Apple Price Target: $640 Per Share

2011-10-23T15:00:00.000-07:00

Today I am posting my 12-month price target for Apple of $640 per share. This target price forecasts a 63% advance in the share price within twelve months and tracks slightly below my anticipated 66% growth in earnings per share in Apple's current fiscal year. Apple's Share Price TodayApple closed trading on Friday, October 21st, at $392.87. At that price the shares traded at 14.19 times trailing

Spaceship Apple Comes Down To Earth

2011-10-18T20:51:00.000-07:00

Apple's September results were below most expectations. The $28.27 billion in revenue represented a $300 million sequential decline and a comparatively languid 39% year-over-year gain. On earnings per share, the 52% year-over-year rise to $7.05 was far below the 96.2% rate of eps growth realized over the first nine months of the fiscal year.The Good News In The September QuarterMac Unit Sales: If

The Apple Analyst Sandbag Factor

2011-10-15T21:19:00.000-07:00

Each fiscal quarter Apple 2.0's Philip Elmer-DeWitt provides an index of quarterly estimates that include numbers from a select group of bloggers and numbers from Wall Street pros. For the September quarter, the differences in the estimates from the bloggers and the pros have the widest divergence since the quarterly indexes began. This quarter the gap is so pronounced it might best be described

Why Apple's FQ4 Earnings Will Approach $10 Per Share

2011-10-02T18:13:00.000-07:00

There's no other company on the planet that excites the imagination of its product users as much as Apple. In developing revenue and earnings estimates for the company, I am guided by one overarching principle:Apple doesn't sell products. Apple crafts customer relationships and those relationships sell Apple products. Understanding Apple's Pathways To Success Understanding Apple's pathways to

The AAPL Independent Analysts FQ4 Estimate Index

2011-10-01T15:25:00.000-07:00

On October 18th Apple will announce results for the company's 4th fiscal quarter ended September 24th. To gauge expectations for the quarter, we asked members of the AAPL Independent Analysts group on Linkedin and members of the Apple Finance Board who have participated in prior quarterly indexes to submit estimates of the company's 4th fiscal quarter performance. Among the fourteen individuals

Apple's Expanding Global Reach

2011-09-03T11:29:00.000-07:00

Over the most recent four fiscal quarters ended in June, Apple reached $100 billion in revenue. In this four-quarter period revenue rose at the rate of 75.73% and eps rose 90.2%. Apple's revenue growth is fueled not only by the popular iPhone and iPad which accounted for 61% of the $100 billion in revenue, it's also fueled by a broadening of the company's global reach.Apple manages its business

Why The Apple iPad Stands Alone

2011-08-21T00:07:00.000-07:00

HP's recent announcement the company is extinguishing its webOS-based product lines and jettisoning its PC division highlight the ongoing transformation of the personal technology markets. Market share alone accomplishes nothing. Integrated product lines and content to support product sales mean everything in our fast-changing world. Although HP is currently the world's largest PC maker, HP

Unit Sales In The Apple Industrial Era

2011-08-20T15:48:00.000-07:00

Introduction Apple is at the threshold of becoming the largest US-based technology company and may soon become the largest technology company in the world. This post details the unit sales for the Apple iPhone, iPod and Macintosh personal computers over the most recent eleven fiscal quarters and iPad unit sales for the five fiscal quarters the product has been in commercial release. Apple's

Apple's First $100 Billion Year

2011-08-16T20:13:00.000-07:00

During the twelve months that ended in late June, Apple reached an important milestone. It was the first 12-month period in which the company's reported revenue exceeded $100 billion. Apple's fiscal year ends in late September, but the trends revealed in the four fiscal quarters that ended in late June provide important insights into the company's current rates of revenue growth and the dynamic

Apple: Rising Earnings, Rising Cash, Falling Multiple

2011-08-07T12:07:00.000-07:00

Apple ended a challenging week on Wall Street at $373.62 per share, down $3.75 on the day and off $16.86 for the week. Friday's closing price represents a multiple of 14.79 times 12-month trailing earnings of $25.26. At Friday's closing price, the company's hefty cash position of $81.21 per share is equal to 21.73% of the share price valuation. With a current 12-month eps growth rate of 90.21%, a

Cost Discipline: Apple's Potent Pathway To Profits

2011-07-31T11:59:00.000-07:00

In Apple's third fiscal quarter ended in June, the company reported record revenue of $28.571 billion and record earnings per share (eps) of $7.79. Fueling the record eps performance was the record high 25.5% of each revenue dollar that flowed to the net income line. On July 24th I published an article titled Apple's Net Income Relative To Revenue Continues To Rise. In that article I reviewed the

Apple's Net Income Relative To Revenue Continues To Rise

2011-07-24T14:37:00.000-07:00

On July 19th Apple reported record revenue and earnings for the three-month period ended in late June. The third fiscal quarter's 82% revenue growth to $28.571 billion and 122% earnings per share (eps) growth to $7.79 represented surprisingly strong results due to better than expected sales of Apple iPhones and Apple iPads. Apple's Nine-Month PerformanceFor the first nine months of the fiscal

Apple June Quarter Results: Numbers To Watch

2011-07-17T19:25:00.000-07:00

On April 23, 2011 I published an article titled Posts At Eventide: AAPL June Quarter Trends To Track. In that article I mentioned several factors that will impact Apple's quarterly performances through the balance of the current fiscal year and throughout FY 2012 that begins in late September.Today I'd like to revisit each of these factors ahead of the release of Apple's June quarter results on

Apple's PEG Ratio Signals Share Price Gains Ahead

2011-07-04T12:45:00.000-07:00

On Friday, Apple (AAPL) closed New York trading at 343.26, up $7.59 on the day and up $16.91 or 5.2% on the week. Although the week's share price advance was impressive, Apple remains significantly under valued based on the company's current rates of revenue and earnings growth. In the first six months of the current fiscal year Apple's revenue has risen 76.2% and earnings per share has gained

The AFB AAPL FQ3 Unit Sales Estimate Index

2011-07-03T10:27:00.000-07:00

The Apple Finance Board (AFB) is home to many AAPL traders, investors and Apple product enthusiasts. Among the members of the AFB are well know independent analysts Daniel Tello (deagol), Horace Dediu (aysmco), Turley Muller and Andy Zaky. I serve as the moderator of the AFB under the DawnTreader moniker. The AFB AAPL FQ3 Unit Sales EstimatesEach fiscal quarter active members of the AFB are

The AFB AAPL FQ3 Estimate Index

2011-07-02T21:50:00.000-07:00

The Apple Finance Board (AFB) is home to many AAPL traders, investors and Apple product enthusiasts. Among the members of the AFB are well know independent analysts Daniel Tello (deagol), Horace Dediu (aysmco), Turley Muller and Andy Zaky. I serve as the moderator of the AFB under the DawnTreader moniker. AFB AAPL FQ3 EstimatesEach fiscal quarter active members of the AFB are polled for their