This Chart Is The Best Argument Yet For Why Apple Needs The iWatch

Screen Shot 2014-03-30 at 6.04.39 PM

Here’s an interesting financial. Robert Paul Leitao, founder of the AAPL Independent Analysts, shows how Apple’s revenue has grown over 1,127% since 2006, and earnings per share has grown an incredible 2,457%.

Fiscal 2011 and fiscal 2012 have been particularly kind to Apple: 66% in 2011, and 54% in fiscal 2012, largely thanks to new deals such as the Verizon Wireless iPhone deal, and the announcement of a new product line in the iPad. In 2013, though, Apple grew only 9.2%, and so far, Apple’s guidance for the latest quarter suggests nearly no growth at all.

Leitao’s conclusion? Apple’s growth is dependent on the successful release of new and currently unannounced new products. “Apple is an episodic enterprise,” he writes. The best reason to believe that Apple has an iWatch coming this year is that, without one, Apple will stop growing.

  • Halabinya

    not a very compelling argument, could fill iWatch with any product, iTv, iJockstrap, iWhatever

  • AAPL_@_$101_Is_A_Done_Deal_:)

    Apple shareholders have become victims of Apple’s earlier success. Now, even shareholders of mediocre tech companies will see greater shae gains than Apple shareholders. Despite the possibility of zero growth, Apple will still easily be worth more than any other tech company on the planet. Apple shareholders are totally screwed at this point. With Tim Cook simply sitting on $160 billion in cash, Apple’s share price will continue to slide further down. Apple is simply too cheap to use a portion of that reserve cash to grow revenues with either a search engine or cloud services. Apple doesn’t need to go with strictly hardware to make money. Apple is going to sit back and allow Apple shareholders to get hammered without lifting a finger. Apple has almost zero chance of growing iPhone market share with Android smartphones flooding the entire global smartphone market with some of the cheapest smartphones money can buy. I doubt some iWatch will generate very much revenue and already its a crowded market with Android again taking major market share.

About the author

John BrownleeJohn Brownlee is a Contributing Editor. He has also written for Wired, Playboy, Boing Boing, Popular Mechanics, VentureBeat, and Gizmodo. He lives in Boston with his wife and two parakeets. You can follow him here on Twitter.

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