Apple expected to announce record revenues today

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Apple's earnings call will take place later today!
Photo: Ste Smith/Cult of Mac

Apple has its first quarter earnings call for fiscal 2017 today, and if you’re an investor — or just an Apple fan — signs point to it being a great one.

With revenue having declined year-on-year for the past three quarters, investors expect today’s announcement to reveal that Apple is rebounding.

Analyst Philip Elmer-DeWitt has grouped all the predictions he can find, with Wall Street professionals in blue and independents in green.

HEAD
Predicted Apple earnings for today.
Photo: Philip Elmer-DeWitt

As my colleague Buster Hein noted in his “How Apple’s next earnings call could surprise us all” article earlier this week:

“In Q1 2016, Apple reported revenue of $75.9 billion. Apple told investors it expected to pull in between $76 and $78 billion for Q1 2017. If Apple falls short of that, its stock will take a huge hit, but anything over $78 billion will be seen as a phenomenal success considering the lackluster hype behind the iPhone 7.”

As you can see from Elmer-DeWitt’s chart, most are expecting iPhone sales to fall within that comfortable $76-$78 billion range, although two outliers are suggesting it will be over and two more that it will be under.

In general, it seems that investors are bullish on iPhone sales, which are coming off the always-hot holiday quarter.

The real excitement, of course, is about the potential of the iPhone 8 later this year. Don’t expect Tim Cook to make any announcements during the earnings call (although some young whippersnapper is bound to ask him, probably prefaced with the words “I know you can’t talk about future plans, but…”), but that is where many analysts are expecting the next big shakeup to come from.

For instance, analysts at Pacific Crest Securities say they don’t think AAPL share prices will move much before the third quarter when, “we should get more evidence around the lineup, costs and potential pricing in the next iPhone cycle.”

As always, we’ll be liveblogging the Apple earnings call which will commence at 2:00pm PT / 5:00pm ET. Check in on Cult of Mac to find out what is said, and what all of it means!

Source: Business Insider