Daniel Newman, CEO of The Futurum Group, shared his insights on CNBC’s ‘Power Lunch’ regarding Apple’s upcoming earnings report. Newman anticipates strong demand for the iPhone 14 series and believes Apple will continue to capitalize on its subscription services. He also emphasizes the importance of Apple’s services ecosystem and the company’s ability to maintain high customer loyalty.
Apple is set to report its second fiscal quarter earnings on Thursday, with investors expecting modest growth due to weak iPhone sales and macroeconomic headwinds. Analysts anticipate earnings per share of $1.50 and revenue of $90.01 billion, with key business units performing as follows: iPhone revenue of $46 billion, Mac revenue of $6.86 billion, iPad revenue of $5.91 billion, wearables and accessories revenue of $8.08 billion, and services revenue of $23.27 billion. The primary focus for investors will be the company’s outlook for the current quarter, especially regarding sales projections of $83.23 billion, representing 1.8% annual growth. Despite concerns about the iPhone 15’s performance, analysts believe Apple’s China market remains a significant concern, with sales declining 14% year-over-year in the March quarter. The company faces increased competition from local players and potential challenges from Chinese government policies, which have reportedly discouraged the use of foreign devices.
Jason Ware, Chief Investment Officer at Albion Financial Group, highlights crucial metrics to monitor in Apple’s upcoming earnings report, providing valuable insights for investors.
Ahead of Apple’s upcoming earnings report, tech investor Dan Niles expresses concerns over the company’s valuation, citing its lack of significant growth and competitive challenges. Niles believes Apple’s fundamentals have been lackluster for three years and that the company is facing increasing competition from Huawei and lagging behind in the artificial intelligence race.
