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"Our customers are holding on to their iPhones a bit longer than in the past. Combined with macroeconomic factors, especially in emerging markets, this resulted in iPhone revenue declining 15% YoY."

Umm... Do you think most people can afford a $1500 phone every year? It used to cost a fraction of that money, of course people upgraded more frequently.
 
62% of the entire companies earnings from a device that’s losing sales... and Apple has changed it to manipulate the figures as it won’t announce how many iPhones were sold..

The only reason it’s profits are up is due to the massive increase in iPhone sales pricing. Well won’t last for ever Timmy...
How can that be when gross margins are basically flat. And gross margins are flat with a larger percentage of revenue coming from services which have a much higher gross margin than hardware.
 
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Incredible how small Mac sales have become as a part of their revenue. I don’t know what’s more astonishing, that fact about the Mac sales, or the fact people are dooming and glooming over a company that just posted $84.3B in earnings in a single quarter.

Mobile, phones tablets wearables, that’s has been the trend for the last five years or more.....
 
"Our customers are holding on to their iPhones a bit longer than in the past. Combined with macroeconomic factors, especially in emerging markets, this resulted in iPhone revenue declining 15% YoY."

Umm... Do you think most people can afford a $1500 phone every year? It used to cost a fraction of that money, of course people upgraded more frequently.
How many people were ever paying the full cost of the phone upfront? Since I’ve gone on the iPhone upgrade program I’m paying less out of pocket than I did when the carriers were offering so-called subsides.
 
I must admit that I have mixed emotions about Apple's performance. One the one hand I'm happy to see that they are doing well as I really like many of their products. :) On the other hand I'm disappointed as I don't expect the prices for those items to drop any time soon. :(
 
Stock price is something else, and you can vote with your money - go ahead and short AAPL stock if you like.

Do you know the difference between a good quarter and a bad quarter? lol.

The company is doing awesome. The fact that the stock price does not reflect the company performance should make the astute investor realize that AAPL stock is a huge bargain.

Go ahead and buy it, then. To me, the astute investor sees that AAPL is way too much of a one trick pony. And the pony has been hobbling around this past quarter. Good luck with that investment.
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How many people were ever paying the full cost of the phone upfront? Since I’ve gone on the iPhone upgrade program I’m paying less out of pocket than I did when the carriers were offering so-called subsides.

Sure, but you've been duped into thinking you're getting a deal with that program.
 
Sure, but you've been duped into thinking you're getting a deal with that program.
What deal? I haven’t been duped into anything. I’m paying for my phone over time with a no interest loan. How is that a problem?
 
I guess Europe down slightly is due to the UK. Brexit fears are having a massive effect on consumer confidence there, judging from what I've seen and heard.

So once again Apple's problems seem to have been rather over stated, for the time being at least.

With nand prices falling sharply, they could answer their price critics by making significant reductions in BTO ram and storage options for products released in 2019.

Wrong wrong wrong in so so so many levels...

The reason it’s sales are down on the Uk if they are, is because of the OBSCENE prices Apple devices cost!
Lots of people stick to older iPhones and they aren’t going to spend a grand or go on three year contracts just to upgrade!
Plus the new iPad Pros cost as much as Mac laptops if you spec them out...

I’m afraid you’ve been listening far too much to ‘project fear’ because consumers are still happily spending.. they just don’t buy Apples prices as much now.
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How can that be when gross margins are basically flat. And gross margins are flat with a larger percentage of revenue coming from services which have a much higher gross margin than hardware.

How are it’s services going to make up 62% of the companies earnings with falling iPhone sales? And that’s according to Apple themselves!
You watch that share price.... doesn’t matter what Cook claims. It’s the markets that will tell if it’s successful or not.

And the iPhone was around the £700 pound mark in the UK, since the X it’s been £999 and up, until the XR at £750 which apparently has flatlined in sales hence all the promotions and offers.
 
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With everyone so focused on the prices of phones... does anyone still care about what the carriers are charging for service?

I understand how $1,000 for a phone seems like an obscene price. I get it.

But a lot of people are paying that, or more, for service every single year.

You can keep a phone for a while to help offset its cost. Any recent phone will work great for a few years at least.

But you'll have a monthly service payment for the rest of your life!!! :p
 
How are it’s services going to make up 62% of the companies earnings with falling iPhone sales? And that’s according to Apple themselves!
You watch that share price.... doesn’t matter what Cook claims. It’s the markets that will tell if it’s successful or not.

And the iPhone was around the £700 pound mark in the UK, since the X it’s been £999 and up, until the XR at £750 which apparently has flatlined in sales hence all the promotions and offers.
All I’m saying is even with iPhone prices increasing margins are basically flat. And flat even though a greater percentage of revenue comes from higher margin services. What that tells me is the hardware they’re designing is more expensive to make and thus that’s why they’re more expensive. If it as just raising prices without the underlying product being more expensive to make gross margins would be higher and they’re not.
 
“fewer upgrades as customers took advantage of Apple's reduced pricing on battery replacements in 2018 to extend the lives of their current phones.“

This right here leads me to think that sales will start declining as people generally don’t need the latest and greatest as performance can be increased with a battery swap. Phones are already as powerful as some computers so I can see people keeping them just as long as a computer.

Nothing a little solder and glue job can't fix.
 
Go ahead and buy it, then. To me, the astute investor sees that AAPL is way too much of a one trick pony. And the pony has been hobbling around this past quarter. Good luck with that investment.
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Sure, but you've been duped into thinking you're getting a deal with that program.




If it seems like that to you, well then, so be it. I'd encourage you to re-evaluate that opinion,

One Trick Pony eh? I disagree.

How about Netflix? Compare AAPL to NFLX. Which one is the one trick pony?

It's been pointed out that Apple services revenue on it's own is bigger than a lot of other companies.

This quarter points it out actually. Services revenue really helped the bottom line for AAPL last quarter didn't it?
 
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I think Apple is just fine with iPhone sales plateauing. As long as their next phone is still an iPhone, then that’s all that matters. Get them into the ecosystem, introduce them to other products and services that all work perfectly together, and you have a well oiled machine for years to come. iPhone will still be the center of all that.
 
Almost everyone owns an iPhone. How many more do these people expect them to sell?

Almost everyone owns a pair of shoes, too. But I still see shoes for sale.

The footwear market hasn't collapsed just because people already own shoes. :p

And there's a good chance these people will buy another iPhone someday, right? I know I will. Anyone else?
 
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I guess Europe down slightly is due to the UK. Brexit fears are having a massive effect on consumer confidence there, judging from what I've seen and heard.

So once again Apple's problems seem to have been rather over stated, for the time being at least.

With nand prices falling sharply, they could answer their price critics by making significant reductions in BTO ram and storage options for products released in 2019.
Agree. Overstated and very centralized to China.

China is bad though. They need to address it, but it might be out of their control in large part. Other companies echoing China concerns.
 
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There are now a group of analysts saying how Apple's future is uncertain. This is what Apple shareholders have to listen to every freaking quarter. This is Tim Cook's fault for not being able to give investors enough confidence in the company's future. Apple doesn't seem to know what to do to stop analysts and big investors from criticizing how the company is being run. The FANG stocks and Microsoft don't have these sort of problems. Wall Street praises these companies constantly. It's only Apple that has a low P/E and is rarely praised as being a well-run company. None of those other companies' investors are calling for the CEO's to be fired like Tim Cook is.

Apple's iPhone dependency is freaking out investors. Apple has the cash to acquire additional revenue streams, so why don't they? If other companies can do it, why not Apple. I've owned Apple stock since 2004 and nothing ever seems to change in terms of Apple's future outlook. Its future is never certain no matter what it tries to do. Really, so annoying.
 
“fewer upgrades as customers took advantage of Apple's reduced pricing on battery replacements in 2018 to extend the lives of their current phones.“

This right here leads me to think that sales will start declining as people generally don’t need the latest and greatest as performance can be increased with a battery swap. Phones are already as powerful as some computers so I can see people keeping them just as long as a computer.

I agree. But this is why people should lighten up a little when it comes to the prices. With an iPhone, you’re making a long term investment. Device will be legitimately supported for years and years, it will remain legitimately functional for years and years.

People are keeeping their devices longer which is part of the reason that sales are stagnating. So I think it’s odd people comment that if only Apple reduced the price $100-$150 then suddenly the price would be legit. Long term investment.
 
If it seems like that to you, well then, so be it. I'd encourage you to re-evaluate that opinion,

One Trick Pony eh? I disagree.

How about Netflix? Compare AAPL to NFLX. Which one is the one trick pony?

It's been pointed out that Apple services revenue on it's own is bigger than a lot of other companies.

This quarter points it out actually. Services revenue really helped the bottom line for AAPL last quarter didn't it?

Also they expect them to double by 2020. I was worried that Apple was a little late getting the services going but it appears my fear was unfounded. This was a critical quarter for Apple. I am guessing target price is going to get adjusted by analysts and maybe AAPL will trade like a normal stock again.
 
I have been upgrading nearly every year, but I'm done upgrading each year. I'm sick of paying the full tax amount for a phone up front and then having to pay the tax again the next year. Everyone participating in the Apple iPhone upgrade program is essentially paying double the amount of taxes on their iPhone if they upgrade each year. If they changed it where I was paying the tax for the phone on a monthly basis I would be more likely to upgrade.

With my iPhone X, I paid $95 in tax (7% Utah sales tax). If I were to upgrade each year I'm essentially paying 14% sales.

Anyone else ever thought about that?

Paying sales tax is not fun (mine is higher in NV), but your rate is still 7% if you upgrade each year — not 14%.
 
How many people were ever paying the full cost of the phone upfront? Since I’ve gone on the iPhone upgrade program I’m paying less out of pocket than I did when the carriers were offering so-called subsides.

Not many would be my guess. I think most folks now pay nothing when they get a new phone. The $30 per month just gets added to the cellphone bill.

But as for myself, I just buy my phone upfront. Then I pay $15 a month for my cell service plus another amount for my family data plan. It ain't too much once you get a bunch of lines on the family plan.
 
Why is the stock going up?! Doesn't the market pay attention to MacRumors... everyone here said it would go down... mind. blown.
Always funny to see the "Apple-hater"-haters make their broad generalizations and straw-men arguments. :p (Not picking on you here, pal. Just using your post as an example; hope you don't mind.)

A word to the not-so-wise: Some of your so-called "Apple-haters" are actually people who have stuck with the company for decades, and are disappointed in product quality, product offerings, and the general direction Apple may appear to be headed. Like a family-member or friend who speaks the hard truth when someone needs to hear it, many who voice dissent actually care more than the sycophants who prefer to think everything is rosy. (And this sentiment applies to more than just a particular computer company...)
 
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