{"id":4354,"date":"2023-05-04T23:39:18","date_gmt":"2023-05-05T03:39:18","guid":{"rendered":"https:\/\/ifintechworld.com\/investing\/opinion-apples-forecast-suggests-worst-stretch-for-sales-growth-since-2016-but-stock-is-still-headed-higher\/"},"modified":"2023-05-04T23:39:19","modified_gmt":"2023-05-05T03:39:19","slug":"opinion-apples-forecast-suggests-worst-stretch-for-sales-growth-since-2016-but-stock-is-still-headed-higher","status":"publish","type":"post","link":"https:\/\/ifintechworld.com\/?p=4354","title":{"rendered":"Opinion: Apple\u2019s \u2018forecast\u2019 suggests worst stretch for sales growth since 2016, but stock is still headed higher"},"content":{"rendered":"
\n

Apple Inc.\u2019s investors showed enthusiasm after the company beat on earnings Thursday and announced billions more dollars on their way to shareholders, but they may have missed some important guidance.<\/p>\n

Apple
\n AAPL,
\n -0.99%<\/bg-quote>
\n shares gained more than 2% in after-hours trading Thursday, as iPhone sales grew unexpectedly and analysts heaped praise on the most valuable U.S. company \u2014 Dan Ives of Wedbush Securities called the earnings \u201cLeBron-like results,\u201d referring to basketball legend LeBron James, while CFRA Research\u2019s Angelo Zino called Apple a \u201csafe haven for investors\u201d amid a dividend hike and a new share-repurchase plan. <\/p>\n

\n

But revenue still declined year over year, falling to $94.8 billion from $97.3 billion. And executives predicted that sales would decline yet again in the current quarter, which would be the third consecutive quarter of revenue declines, something Apple has not experienced since 2016. <\/p>\n

While Apple stopped giving official financial guidance during the early stages of the COVID-19 pandemic and has not resumed the practice, Chief Financial Officer Luca Maestri indicated in the conference call that another revenue decline is anticipated.<\/p>\n

\u201cWe expect our June quarter year-over-year revenue performance to be similar to the March quarter, assuming that the macroeconomic outlook does not worsen from what we are projecting today for the current quarter,\u201d he said. <\/p>\n

Apple saw its overall revenue decline 2.5% in the quarter reported Thursday, due to a 26.3% drop in Mac sales and a 12.7% decline in iPad sales. IPhone, with growth of 1.5%, and services, which grew 5.5%, were the stars of a middling quarter. <\/p>\n

Read more about Apple\u2019s sinking Mac sales<\/strong><\/p>\n

Another 2.5% decline year over year would put Apple\u2019s sales at less than $81 billion in the current quarter, more than $3.5 billion lower than Wall Street\u2019s consensus estimate, according to FactSet, and would make analysts\u2019 average estimate of $388.3 billion for the full year a tougher target to hit. <\/p>\n

Apple executives remained fairly optimistic on the company\u2019s call, though, with Chief Executive Tim Cook citing the continued growth in services as proof of its strong ecosystem, cheering on an incredibly resilient supply chain and pointing to stellar growth in emerging markets. <\/p>\n

There were few discussions of turbulence for Apple, though Maestri noted a tougher environment for advertising and mobile gaming.<\/p>\n

\u201cOf course we\u2019ve got the issue around the macroeconomic environment, particularly in advertising and in mobile gaming. But outside of those areas, the behavior of customers continues to be pretty consistent that we\u2019re doing particularly well,\u201d Maestri said.<\/p>\n

Full earnings coverage: Apple earnings show surprise jump in iPhone sales and a 4% dividend hike<\/strong><\/p>\n

It is possible that Apple executives are just being very cautious amid uncertain economic times \u2014 three months ago, Maestri gave almost the same forecast for a repeat revenue decline, but Apple actually improved from a 5.5% drop to 2.5%. Outperforming the forecast by a similar amount would put Apple\u2019s revenue growth into the black in the current quarter.<\/p>\n

There is little to worry about at Apple \u2014 even with declining revenue, the company is putting up huge profits and shipping even more money back to investors, and it seems \u201cWe will perform similar to this quarter\u201d may be Apple\u2019s regular forecast until executives return to formal guidance. But expect forward estimates to change in the days ahead as analysts digest the guidance they did receive and return to their spreadsheets, and that could sway Apple\u2019s stock a different way in the near-term once it happens. <\/p>\n<\/p><\/div>\n<\/div>\n

Read the full article here<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Apple Inc.\u2019s investors showed enthusiasm after the company beat on earnings Thursday and announced billions more dollars on their way to shareholders, but they may have missed some important guidance. Apple AAPL, -0.99% shares gained more than 2% in after-hours trading Thursday, as iPhone sales grew unexpectedly and analysts heaped praise on the most valuable […]<\/p>\n","protected":false},"author":1,"featured_media":4355,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"video","meta":{"footnotes":""},"categories":[239],"tags":[83],"class_list":["post-4354","post","type-post","status-publish","format-video","has-post-thumbnail","hentry","category-investing","tag-featured","post_format-post-format-video"],"yoast_head":"\nOpinion: Apple\u2019s \u2018forecast\u2019 suggests worst stretch for sales growth since 2016, but stock is still headed higher | iFintechWorld<\/title>\n<meta name=\"description\" content=\"Apple Inc.\u2019s investors showed enthusiasm after the company beat on earnings Thursday and announced billions more dollars on their way to shareholders, but\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/ifintechworld.com\/?p=4354\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Opinion: Apple\u2019s \u2018forecast\u2019 suggests worst stretch for sales growth since 2016, but stock is still headed higher | iFintechWorld\" \/>\n<meta property=\"og:description\" content=\"Apple Inc.\u2019s investors showed enthusiasm after the company beat on earnings Thursday and announced billions more dollars on their way to shareholders, but\" \/>\n<meta property=\"og:url\" content=\"https:\/\/ifintechworld.com\/?p=4354\" \/>\n<meta property=\"og:site_name\" content=\"iFintechWorld\" \/>\n<meta property=\"article:published_time\" content=\"2023-05-05T03:39:18+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-05-05T03:39:19+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/05\/1683257958_social.jpeg\" \/>\n\t<meta property=\"og:image:width\" content=\"1280\" \/>\n\t<meta property=\"og:image:height\" content=\"640\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"News Room\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"News Room\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/ifintechworld.com\/?p=4354#article\",\"isPartOf\":{\"@id\":\"https:\/\/ifintechworld.com\/?p=4354\"},\"author\":{\"name\":\"News Room\",\"@id\":\"https:\/\/ifintechworld.com\/#\/schema\/person\/6224724fd4116361255b179dc5c70b61\"},\"headline\":\"Opinion: Apple\u2019s \u2018forecast\u2019 suggests worst stretch for sales growth since 2016, but stock is still headed higher\",\"datePublished\":\"2023-05-05T03:39:18+00:00\",\"dateModified\":\"2023-05-05T03:39:19+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/ifintechworld.com\/?p=4354\"},\"wordCount\":588,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/ifintechworld.com\/#organization\"},\"keywords\":[\"Featured\"],\"articleSection\":[\"Investing\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/ifintechworld.com\/?p=4354#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/ifintechworld.com\/?p=4354\",\"url\":\"https:\/\/ifintechworld.com\/?p=4354\",\"name\":\"Opinion: Apple\u2019s \u2018forecast\u2019 suggests worst stretch for sales growth since 2016, but stock is still headed higher | iFintechWorld\",\"isPartOf\":{\"@id\":\"https:\/\/ifintechworld.com\/#website\"},\"datePublished\":\"2023-05-05T03:39:18+00:00\",\"dateModified\":\"2023-05-05T03:39:19+00:00\",\"description\":\"Apple Inc.\u2019s investors showed enthusiasm after the company beat on earnings Thursday and announced billions more dollars on their way to shareholders, but\",\"breadcrumb\":{\"@id\":\"https:\/\/ifintechworld.com\/?p=4354#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/ifintechworld.com\/?p=4354\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/ifintechworld.com\/?p=4354#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/ifintechworld.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Opinion: Apple\u2019s \u2018forecast\u2019 suggests worst stretch for sales growth since 2016, but stock is still headed higher\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/ifintechworld.com\/#website\",\"url\":\"https:\/\/ifintechworld.com\/\",\"name\":\"Repay Down\",\"description\":\"Latest Personal Finance News, Tips and Updates\",\"publisher\":{\"@id\":\"https:\/\/ifintechworld.com\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/ifintechworld.com\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/ifintechworld.com\/#organization\",\"name\":\"Repay Down\",\"url\":\"https:\/\/ifintechworld.com\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/ifintechworld.com\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/rep-logo-dark.png\",\"contentUrl\":\"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/rep-logo-dark.png\",\"width\":558,\"height\":90,\"caption\":\"Repay Down\"},\"image\":{\"@id\":\"https:\/\/ifintechworld.com\/#\/schema\/logo\/image\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\/\/ifintechworld.com\/#\/schema\/person\/6224724fd4116361255b179dc5c70b61\",\"name\":\"News Room\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/ifintechworld.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/avatar_user_1_1682606986-96x96.png\",\"contentUrl\":\"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/avatar_user_1_1682606986-96x96.png\",\"caption\":\"News Room\"},\"sameAs\":[\"https:\/\/ifintechworld.com\"],\"url\":\"https:\/\/ifintechworld.com\/?author=1\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Opinion: Apple\u2019s \u2018forecast\u2019 suggests worst stretch for sales growth since 2016, but stock is still headed higher | iFintechWorld","description":"Apple Inc.\u2019s investors showed enthusiasm after the company beat on earnings Thursday and announced billions more dollars on their way to shareholders, but","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/ifintechworld.com\/?p=4354","og_locale":"en_US","og_type":"article","og_title":"Opinion: Apple\u2019s \u2018forecast\u2019 suggests worst stretch for sales growth since 2016, but stock is still headed higher | iFintechWorld","og_description":"Apple Inc.\u2019s investors showed enthusiasm after the company beat on earnings Thursday and announced billions more dollars on their way to shareholders, but","og_url":"https:\/\/ifintechworld.com\/?p=4354","og_site_name":"iFintechWorld","article_published_time":"2023-05-05T03:39:18+00:00","article_modified_time":"2023-05-05T03:39:19+00:00","og_image":[{"width":1280,"height":640,"url":"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/05\/1683257958_social.jpeg","type":"image\/jpeg"}],"author":"News Room","twitter_card":"summary_large_image","twitter_misc":{"Written by":"News Room","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/ifintechworld.com\/?p=4354#article","isPartOf":{"@id":"https:\/\/ifintechworld.com\/?p=4354"},"author":{"name":"News Room","@id":"https:\/\/ifintechworld.com\/#\/schema\/person\/6224724fd4116361255b179dc5c70b61"},"headline":"Opinion: Apple\u2019s \u2018forecast\u2019 suggests worst stretch for sales growth since 2016, but stock is still headed higher","datePublished":"2023-05-05T03:39:18+00:00","dateModified":"2023-05-05T03:39:19+00:00","mainEntityOfPage":{"@id":"https:\/\/ifintechworld.com\/?p=4354"},"wordCount":588,"commentCount":0,"publisher":{"@id":"https:\/\/ifintechworld.com\/#organization"},"keywords":["Featured"],"articleSection":["Investing"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/ifintechworld.com\/?p=4354#respond"]}]},{"@type":"WebPage","@id":"https:\/\/ifintechworld.com\/?p=4354","url":"https:\/\/ifintechworld.com\/?p=4354","name":"Opinion: Apple\u2019s \u2018forecast\u2019 suggests worst stretch for sales growth since 2016, but stock is still headed higher | iFintechWorld","isPartOf":{"@id":"https:\/\/ifintechworld.com\/#website"},"datePublished":"2023-05-05T03:39:18+00:00","dateModified":"2023-05-05T03:39:19+00:00","description":"Apple Inc.\u2019s investors showed enthusiasm after the company beat on earnings Thursday and announced billions more dollars on their way to shareholders, but","breadcrumb":{"@id":"https:\/\/ifintechworld.com\/?p=4354#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/ifintechworld.com\/?p=4354"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/ifintechworld.com\/?p=4354#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/ifintechworld.com\/"},{"@type":"ListItem","position":2,"name":"Opinion: Apple\u2019s \u2018forecast\u2019 suggests worst stretch for sales growth since 2016, but stock is still headed higher"}]},{"@type":"WebSite","@id":"https:\/\/ifintechworld.com\/#website","url":"https:\/\/ifintechworld.com\/","name":"Repay Down","description":"Latest Personal Finance News, Tips and Updates","publisher":{"@id":"https:\/\/ifintechworld.com\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/ifintechworld.com\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/ifintechworld.com\/#organization","name":"Repay Down","url":"https:\/\/ifintechworld.com\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/ifintechworld.com\/#\/schema\/logo\/image\/","url":"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/rep-logo-dark.png","contentUrl":"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/rep-logo-dark.png","width":558,"height":90,"caption":"Repay Down"},"image":{"@id":"https:\/\/ifintechworld.com\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/ifintechworld.com\/#\/schema\/person\/6224724fd4116361255b179dc5c70b61","name":"News Room","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/ifintechworld.com\/#\/schema\/person\/image\/","url":"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/avatar_user_1_1682606986-96x96.png","contentUrl":"https:\/\/ifintechworld.com\/wp-content\/uploads\/2023\/04\/avatar_user_1_1682606986-96x96.png","caption":"News Room"},"sameAs":["https:\/\/ifintechworld.com"],"url":"https:\/\/ifintechworld.com\/?author=1"}]}},"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/posts\/4354","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=4354"}],"version-history":[{"count":1,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/posts\/4354\/revisions"}],"predecessor-version":[{"id":4356,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/posts\/4354\/revisions\/4356"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=\/wp\/v2\/media\/4355"}],"wp:attachment":[{"href":"https:\/\/ifintechworld.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=4354"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=4354"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ifintechworld.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=4354"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}