Apple Stock News
Apple’s stock price could climb much higher this week as the upcoming earnings report for the first quarter of the fiscal year 2015 will be released on January 27th. This report is expected to boost investor confidence, as analysts are bullish for the company, expecting revenue to come in at the high-end or even above Apple’s guidance from the previous earnings report.
The high revenue estimates are being driven by strong projected iPhone sales. As can be seen in the figure above, Apple recorded 51 million iPhone sales in the fourth quarter of 2013. Analysts expect the company will beat that record this quarter, as the iPhone 6 and 6 Plus have both proven to be extremely popular. The firm itself forecasts sales of 64 million iPhones, while some analysts are predicting between 67 million and 68 million units based off of higher demand than expected.
Apple could become a victim of its own success, however, as the overwhelmingly bullish forecasts from analysts could cause the company to miss analyst’s expectations. It makes sense that as the average predicted revenue continues to increase, the chances of Apple not meeting the analysts’ prediction also increases. Even if Apple outperforms their own estimates, they will most likely be unable to beat what analysts are predicting.