The fact, that over the past year the earning per share grew by 47.72%, while the stock surged by 67.05% and possible decreasing sales and earnings from abroad in the next quarter due to the strong USD might make some investors look critical at the Apple Stock at the moment, but for most investors the rest looks just to good 2 weeks before the earnings report.
- Buybacks
- AppleWatch Sales
- Sales in China
- Earnings
- USD strength
Earnings Report
Apple will release its second quarter earnings figures and host a live conference call on Monday, April 27. The stock price has skyrocketed over the last year, boosted by strong sales of its latest phones and the taking over of the market leadership in China. Due to continuos rapid sales for the iPhone, good starting Sales of the AppleWatch and deeper expansion into the enterprise segment Apple is still bullish looking ahead.
Raised Target Price
Analysts like Susquehanna Financial just raised the target price for Apple to $150 (from $145). This rise in the target price results from buybacks Apple is planning due to its high earnings. Apple’s closing price on Wednsday 15th was $126.78. Also the estimated production range for the iPhone went up by 15% and the estimated production range for the AppleWatch went even up by 60% due to 1 million preorders of the smartwatch. Customers who preordered the smartwatch spend an average of $503.83% a watch.
Since the iPhone Sales are as strong as never before in China the AppleWatch Sales in China are expected to be phenomenal there as well.
Still: Earnings per share grew by impressing 47.72% in the past year. But the stock increased even stronger by 67.05%. Furthermore did Apple’s net income growth exceeded the S&P500’s, but not the one of the Computers & Peripherals industry average. Also: Earnings from abroad might decrease significantly in the next quarter due to the strength of the USD.
The biggest influence on the stock price might become the buyback of shares. And that might keep the stock price increasing.
