Apple Inc. (AAPL) to receive the report after the technology giant announced third-quarter earnings in the face of pandemic-induced store closures and supply chain disruptions, stocks rose to an all-time high on Friday, surpassing $ 400 for the first time.
Apple said the group’s fiscal third-quarter earnings for the three months ended June rose 25.9% year-over-year to $ 2.58 per share, well above $ 2.05 per share in the street consensus. forecast. Apple’s revenue rose 13.4% to $ 59.7 billion on Street, according to Apple. This has increased in each geographical region and across all product lines.
Despite COVID-19 headwinds, iPhone revenue rose 2% year-over-year to a projected $ 26.4 billion, in part due to its solid debut of $ 399 for the iPhone SE, which was launched earlier this year . Sales of the iPad and iMac, meanwhile, rose 22% and 31%, respectively, as home-based computers move computers. Services revenue was tied to $ 13.2 billion.
“We’re very happy with how we’ve been following the iPhone. It was better than we thought, because May and June were much better. If you look at the iPhone in general, what optimizes me is the size of the active base installed.” – Apple CEO Tim Cook told investors at a conference late Thursday.
“The base being deployed is growing and the number of new customers is still very high, so I think it’s good for the future,” he added. “Obviously, as we’ve already pointed out, some work at home and distance learning have a positive impact on Mac and iPad performance.”
“They’re probably affecting laptops and the iPhone, the other way around. And – but on the Mac and iPad, these are productivity tools that people use to stay busy with their work or engage in their school work,” Cook said. “And we believe we’ll have a strong return to school season. Sitting today really looks.”
In early trading on Friday, Apple shares were up 6.2% to exchange $ 408.35 for each business owner, a move that would increase annual earnings per share to about 40% and the value of Cupertino, a California-based company. would be about $ 1.78 trillion.
However, the impact of the shares on the Dow Jones industry average is expected to diminish next month after the group announced a share-for-one share split that will take effect on August 31st. 7% up to $ 410 per share adds about 185 points. Dow. A similar gain of $ 110 per share would add only 46 points to the price average.
Apple declined to offer a short-term profit forecast, “given global uncertainty” and the continuing impact of COVID-19, but said it expects iPhone to profit as well, despite the expected “several weeks” delay. The iPhone 12 will be released in September.
“The board expects double-digit growth in all hardware products except the iPhone during Q4 / F20, and the iPhone is facing severe growth compared to new product launches coming a few weeks later or now in the December quarter.” – said Michael Walkley, an analyst at Canaccord Genuity, who has a purchase rating of $ 460 a share.
“Starting with Q1 / F21, we believe that Apple has great opportunities to take advantage of the 5G upgrade cycle, and we expect the strong growth of the iPhone to contribute to the overall strong growth trends as the development of 5G smartphones increases and Apple continues to expand. its installed base and higher-earning services. income, ”he added. “Apple’s ecosystem approach, including an installed base of more than 1.6 billion devices worldwide, should continue to generate significant revenue from services. We expect higher margins on services to exceed the company’s overall growth. ”