Reports that iPhone sales growth has slowed have been gathering steam for the last few months, and now even Apple CEO Tim Cook is jumping on the bandwagon. During Tuesday's quarterly conference call with analysts, Mr. Cook said he expects iPhone unit sales will decline during the March quarter. If so, it would be the first such decline in iPhone history.
Apple Inc. turned in another record quarter Tuesday, with December quarter revenues of $75.9 billion and record earnings of $18.4 billion, or earnings per share of $3.28. The company just edged out revenues of $74.6 billion from the year ago quarter—missing consensus estimates in the process—but solidly beat year-ago EPS of $3.06. Gross margins came in at 40.1 percent.
Apple's first fiscal quarter earnings report for 2016 is set to start when the market closes this afternoon at about 5PM eastern time. Investors will be paying close attention to Apple's holiday season iPhone sales and will no doubt try to get solid iPad Pro sales figures from the company. Be sure to check in with The Mac Observer this afternoon for our coverage and analysis.
Continued volatility in global markets and recent concerns about this quarter's iPhone sales pushed shares of Apple lower in pre-market trading, and resulted in the company's stock opening below $100 for the first time since October 20, 2014.
A shareholder proposal that would force Apple to increase racial diversity among its senior leadership will be up for vote at the company's annual meeting in February. Apple opposes the measure, arguing that the company is already committed to diversity, and that the proposal's requirements would be unduly burdensome on management.
Wells Fargo analyst Maynard Um is the latest to weigh in on Apple's rumored iPhone production cut, lowering his guidance for the company's shares to between $120 and $130, but noting that he expects Apple to bounce back with record revenue when the iPhone 7 launches later this year.
Apple is set to announce its earnings for the first fiscal quarter of 2016 on Tuesday, January 26, 2016 at 5:00 p.m. EST (2:00 p.m. PST). All eyes will be on the company's holiday iPhone sales, and the market will get its first official glimpse at what impact the iPad Pro has thus far had on Apple's tablet business.
The boy who cried wolf has been driven out of town. After shouting for years that Apple is doomed and that the company's stock would collapse, analyst Adnaan Ahmad has been let go from his position at German Berenberg Bank.
Apple announced a significant change in its corporate bylaws that will make it easier for shareholders to nominate candidates for Apple's board of directors. Apple filed amended bylaws with the Securities and Exchange Commission (SEC) giving shareholders "proxy access" for a limited number of board positions.
Concerns about soft demand for iPhone has reared its perennial head, and Apple's stock has taken a beating as a consequence. Shares in $AAPL ended Tuesday at US$110.49 per share, down $1.99 (-1.77 percent), on heavy volume of 53 million shares trading hands.
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