While Apple gets a freebie in the current (fourth fiscal) quarter, as it came just before the official release of the iPhone 8 and X, traders were still looking at overall trends and guidance from Tim Cook on what to expected from the all important holiday quarter. What they got was just what they requested, with Apple not only reporting a beat on the top and bottom line, including the first positive quarter in China in one and a half years, but also providing strong iPhone X guidance for a record holiday quarter, which promptly sent the stock price surging over 3% in the after hours, now just $100 billion away from $1 trillion in market cap.
Apple reported Q4 EPS and revenues of $2.07 and $52.6bn, both beating expectations of $1.87 and $50.7bn, even if gross margin was a small disappointment, printing at 37.9% vs 38.0% expected. Apple also reported Q4 iPhone sales of 46.7 million, also higher than the 46.1 million consensus estimate with 10.3 million iPads sold in the quarter, above the 9.3 million sold a quarter ago.
Far more important, however, was Apple’s forecast for the current, holiday quarter, in which Apple sees record revenue in the range of $84-$87Bn, higher than the consensus midpoint of 84.5%, on margins of 38.0-38.5%, vs est of 38.5%.
The full forecast in a nutshell:
This post was published at Zero Hedge on Nov 2, 2017.