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iPhone X is popular in the US and Europe as far as I notice, but I do not know many friends in Asia who own that. The price is too high for many countries. The phone practically costs you one month worth of salary to a lot of third world countries. I love my iPhone X, but I am skeptical it will continue to sell in Q2. Just my two cents.
I can assure you, the price of the iPhone X is too high Europe too :(
Wanted to upgrade but not for this amount of cash!!!
 
iPhone X is popular in the US and Europe as far as I notice, but I do not know many friends in Asia who own that. The price is too high for many countries. The phone practically costs you one month worth of salary to a lot of third world countries. I love my iPhone X, but I am skeptical it will continue to sell in Q2. Just my two cents.


So it was the best seller, bringing in record revenue, but all of sudden folks won't like it????
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Quite surprising to be honest. They sold 1M less iPhones. I guess taking away the headphone jack was more innovative (or maybe there is no such thing as bad publicity). Though there are software quirks with the iPhone X, in terms of hardware, I am very impressed with it, and I'm glad I got it.

The sales period was a week less this year. If it had been the same, there would have been 83 million phones sold.
 
Doesn’t that just show up next quarter then? They have the same number of weeks in a year, right?

We are talking about last quarter. The holiday quarter versus last years same quarter. You realize Apple sells nearly 1,000,000 phones A DAY. Right? 13 weeks is 91 days. 14 is 98.

So — 91 days divided by 77 million iPhones sold is 850,000 a Day. If there was an extra week that would have brought them — most likely at least another 5,950,000 iPhones sold for a 14 week quarter totaling an insane 83 million....

No matter how people here try to cut down Apple or say the X is a failure or even two years ago — those that called the Watch DOA - Apples earnings AND the growth of its services by double digits itself .... is massive...

Period.

20 fing billion in profit in one quarter??!!!

Really? Mind blowing.

Btw — the Watch sales were UP 100%.
 
What do these Mac numbers show us? A stagnation, greed, or both?

Q1 12 - 5.20M Macs, $6.60B Revenue
Q1 13 - 4.06M Macs, $5.52B Revenue
Q1 14 - 4.84M Macs, $6.34B Revenue
Q1 15 - 5.52M Macs, $6.94B Revenue
Q1 16 - 5.31M Macs, $6.75B Revenue
Q1 17 - 5.37M Macs, $7.24B Revenue
Q1 18 - 5.11M Macs, $6.90B Revenue

I would say stagnation, but in a market where over all PC/Laptop sales have been going down every year now for a long time stagnation is not that bad for Apple with regard to the Mac. Though i think they could do much better Mac sales wise if they actually put more effort in.
 
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I just don't understand why Mac sales stagnate so much. Why don't they go after it more aggressively ? The Mac is less than 10% AFAIK of the overall PC market. That means Apple still has almost a potential of 90% of market share to take over from the hands of Microsoft.
 
Here is the March quarter for Apple going back to 2011. Looking at these numbers I struggle to see what logic Wall Street is using to arrive at a 65B revenue consensus. Even in the super cycle with iPhone 6 Apple revenue topped out at 58B. Also the rumors of Apple planning for 40M X sales and then reducing it in half also makes zero sense. On what planet would X sales ever be 90% of total iPhone sales? It’s frustrating that analyst estimates are never scrutinized. Yesterday I saw numerous headlines saying Apple’s revenue forecast misses estimates. The average person reading that headline is going to see the word miss and think bad when Apple hasn’t missed anything as the quarter isn’t over yet.

kdsok8.jpg
 
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**** with those numbers, does anyone expect Apple to invest R&D in new Mac HW or iDevices?

I wonder what the adoption rate of macOS would be if Apple legally allowed Hackintosh machines but had strict hardware specifications. Because with those numbers, I'd put 80% of my R&D into iDevices, and let a couple of engineers in closets try to come up with new Mac hardware. Simple math.

I am not expecting anything spectacular hardware wise from Apple on the PC front anytime soon. Prove me wrong Apple!
 
How is this even possible?

On the iPhone X:
  • It's way too expensive at $1,000. Nobody will pay that much.
  • FaceID is useless, bring back TouchID.
  • That notch. Not only ugly but interferes with all my content and videos.
  • Glass back? I don't want a fragile phone.
On the iPhone 8:
  • Not enough of an upgrade from the iPhone 7.
  • They still kept the same basic design? Lame.
On Macs:
  • Still no Mac Mini updates? People are waiting.
  • iMac Pro? I can build a machine for 1/2 the price that's 3x as fast.
  • Still only 16GB on the MBP? I require 32GB to be productive.

So my question for all the naysayers and analysts is this. How does it feel to be wrong? Not just wrong, but utterly and spectacularly wrong?

* A million less total iPhone sales over the same 1/4 last year.

* iPad sales up slightly after years of decline despite yearly renews & only due to a bargain basement model, not the premium priced Pro's they want to be a success.

* Mac sales have been stagnant for almost a decade. No surprise when

* Oh & did you pay attention when earlier in the week they said their were doubling down on both OS's cause years of neglect was starting to show?

How does it feel to be IGNORANT? Not just ignorant, but utterly & spectacularly IGNORANT?
 
* A million less total iPhone sales over the same 1/4 last year.

* iPad sales up slightly after years of decline despite yearly renews & only due to a bargain basement model, not the premium priced Pro's they want to be a success.

* Mac sales have been stagnant for almost a decade. No surprise when

* Oh & did you pay attention when earlier in the week they said their were doubling down on both OS's cause years of neglect was starting to show?

How does it feel to be IGNORANT? Not just ignorant, but utterly & spectacularly IGNORANT?

Not a like for like comparison against same quarter last year as this one, Apple sell more than 1 million iPhones a week and this one was for 13 weeks, last years was 14 weeks . This has been stated many times in this thread yet you seem to be ignorant to that fact.

Mac sales being stagnant in a market that has been in decline for years now is actually good.
 
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I don't see why not?
- currently over 24 lawsuits of possible coersion of throttle to lead into more sales; Q1 results and statements doesn't help this cause. Now the US DOJ is investigating. This aint no joke.
- the key is Apple always underscores estimates and always beats them since 1997. Since there is no specific breakdown of each and every product line ... only 3rd party analysis of models reported for web use (no isolation of location inside Apple or those separated from employees - 20K + of them), nobody would be able to actually call their bluff. So yeah he could risk it.

Therein lies the rub ... he can say anything without specifics which is like the pied piper leading mice ... nobody can resist the music. That's always been something I squint over but it's business genius. They said the same thing about the 7 sales ... or was it the 6S yet it didn't beat sales of the previous model. Now they don't even mention initial launch week/month numbers anymore as per 'policy' ... why not? Hmmm. That has to bother you somewhat.

recall that Apps destruction is the end of the world commercial? That's Apple actually making fun of it's users stating we have no lives and cannot survive without iOS/Watch Apps. Reminds me too much of that Lemmings commercial.

Do I love the company and what they stand for? Yes
Do I love the products and what they offer, and their warranty and exemplary service (customer, retail, or support)? Hell yes.
Do I believe everything they say? No ... nor should anyone. I like pure statistical data, and Apple is hiding the nitty gritty.

Apple's success is good. I hope there is more to come and I'd like to see much better iPhones, more powerful features in iOS and potentially finally The Navigator as a true mobile computer alternative it showed us back in the 80's feeler Apple video in what we see as the future of the iPad.
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Yeah ...

I'd need to know each country all models sold in.
I'd need to know all the contractural pricing for each model in each country for Q1.
I'd need to know the number of units for each model sold at full retail, their price, in each country for Q1.
I'd need to know if those early iPhone X models that where stolen the first week were factored into the shipped model number or not (just in case).

any other data that I'd need? It's been a while.

PS: The ASP rose $101 from $695 to $796, Q1 2017 to Q1 2018,

This appears to really bother you.

Keep digging - maybe you can find some actual numbers to support your claim. But I highly doubt it.
 
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I guess everyone sees why they focus on iPhone now, right? LOL.

Why pour tons of R&D into laptops and desktops when they are such minimal profit? Hell, the iPad all by itself sells almost as much as all Macs combined.
 
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By my back-of-the-napkin numbers I am coming up with estimated unit sales for next quarter at about 55 million based on estimated iPhone revenue of $40 billion and an ASP of $725. That would not be a bad number and would return Apple pretty close to the overall numbers sold the year the iPhone 6 was released. Total iPhones for the year would be around 225 million. For comparison the units sold in 2015 - 2017 were 231, 212, and 217 million respectively.

I'm not seeing the supercycle though. Overall numbers are still showing essentially zero growth for a four-year period. The smartphone market overall isn't growing either so the potential for future market share growth by Apple has a very limited upside. Increases in selling price can only go so far.

What Apple is going to need to do is find that next transformational shift and create a new market like they did with the iPod and the iPhone. Right now they are at a serious risk of becoming a commodity company selling an incrementally improved product to the same old customer as the old ones wear out. While they aren't doing bad, things like Apple Watch, HomePods, and Apple Music aren't going to be the next $100 billion products.
 
What Apple is going to need to do is find that next transformational shift and create a new market like they did with the iPod and the iPhone. Right now they are at a serious risk of becoming a commodity company selling an incrementally improved product to the same old customer as the old ones wear out. While they aren't doing bad, things like Apple Watch, HomePods, and Apple Music aren't going to be the next $100 billion products.

Why do they need to come up with a new "transformational" product? And what's wrong with iPhone sales (for example) leveling off and staying at a fixed 225 million per year to upgraders? Call it a commodity company, but I don't know how anyone could be unhappy with $150+ billion a year in revenues selling a "commodity" at near 40% margins.

I think Apple needs to focus more on services right now and bring additional value/features to the iOS ecosystem. This will ensure continued long-term sales of devices while also bringing in extra revenue.
 
Stagnation mostly. I think they need to update the iMacs and Mac Mini more frequently. They also should be more aggressive with MacBook and 13" MacBook Pro pricing.

Why would Apple chase competitors to the bottom with lower pricing? They are Macs, they'll charge what they can. ASP is more important than selling more units.

This also implies that it'd be possible for Apple to sell 6million+ Macs and have consistent growth since 2012. Considering having more-or-less steady Mac sales when most other PC vendors are contracting, the reality is Apple's performance is probably the best anyone can hope for.
 
Stagnation mostly. I think they need to update the iMacs and Mac Mini more frequently. They also should be more aggressive with MacBook and 13" MacBook Pro pricing.

I think price is a big factor right now. Laptops have gotten to the point where they last for MANY years. I'm still on a 2012 Macbook Pro for my personal computer. I'd consider upgrading it, but $1300 for the base MBP with only 8gb RAM (non-upgradeable later), 2.3gHz i5, and 128gb hard drive is too expensive. The refurb store doesn't have anything below $1500.

Sure, there is the Macbook line and the Air... but the Air hasn't been updated recently and is still $1200 for a decent one, and the Macbook doesn't have enough of the traditional computing needs fulfilled to be viable for a lot of people.
 
We bought a 2016 Macbook Pro last year before they were gone, after the 2017 Macbook Pro came out. My wife wanted more ports than the 2017 Macbook "Pro" has.

We bought an iPhone SE for my son for Christmas. The home button is acting weird on it already. Gotta take it to the Apple Store. But it's a great phone for teens. It fits better in his jeans pocket than the larger phones. Fast CPU. Good camera.

I've had Apple Music for a while now. It's hit or miss with giving me music I like. It continues to give me rap music even though I have ZERO rap artists in my Library and I always designate rap tracks "Dislike".

We got a couple Echo Dots in the house and we were exposed to Alexa for the first time. Alexa is better than Siri, for sure. Apple is really blowing it in this market. And once Apple faithful start putting Alexa devices in their home, they are more likely to try Apple competitors in other areas. "Wow, Alexa connected to our AV receiver so easily! Maybe we should check out the Fire TV?"

I might buy a new Mac for my home studio (replace my 2013 Mac Pro) if Apple offers me what I want and puts out a modular Mac. I'm never going to spend that kind of money again on a computer without slots for GPU and interfaces (can't use Thunderbolt 3).

I'm very happy with my iPhone 7. My wife wants to replace her 6. She'd get a 7 or 8. She has no interest in the X.
 
77M / 13 * 14 = 83M

If Apple had 14 weeks instead of 13, they would have sold 5M more at a higher ASP.

And that's why you are now a Wall Street analyst. You conveniently forgot two major things:
* iPhone sales dynamic around release date
* X-Mas shopping

I am not going to explain this to you. Instead I am going to show how ridiculous your argument is. We have 42 weeks in a year. So, according to your analysis in 2018 Apple will sell 77M / 13 * 42 = 249M. And yet they never sold that many nor are they going to sell this many this year. And this is why AAPL is down today.
 
Here is the March quarter for Apple going back to 2011. Looking at these numbers I struggle to see what logic Wall Street is using to arrive at a 65B revenue consensus. Even in the super cycle with iPhone 6 Apple revenue topped out at 58B. Also the rumors of Apple planning for 40M X sales and then reducing it in half also makes zero sense. On what planet would X sales ever be 90% of total iPhone sales? It’s frustrating that analyst estimates are never scrutinized. Yesterday I saw numerous headlines saying Apple’s revenue forecast misses estimates. The average person reading that headline is going to see the word miss and think bad when Apple hasn’t missed anything as the quarter isn’t over yet.

kdsok8.jpg
Apple has to be the most manipulated stock in the S&P 500. Amazing how much stupid selling there can be.

You are 100% correct and I'm struggling to see the problem with $60-$62B in revenue guidance for Q2. This would not only be the biggest ever, but almost 20% revenue growth y/y.

The iPhone unit sales have to be the biggest Wallstreet farce for any publicly traded company. They are not only NOT provided by Apple, but are completely projected based on guesses from analysts. Also, the $800 ASP is FAR better than consensus estimate, so the unit sales "miss" in Q1 was completely offset by almost $50/iPhone better ASP. They did almost $62B in iPhone sales versus $54B in the same quarter last year.

13% y/y revenue and profit growth. $20B in profit.

I worry Apple will never get the respect it deserves. Amazon announces they are now making 3% margins and their stock rallies 6%. Absolutely ridiculous.
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And that's why you are now a Wall Street analyst. You conveniently forgot two major things:
* iPhone sales dynamic around release date
* X-Mas shopping

I am not going to explain this to you. Instead I am going to show how ridiculous your argument is. We have 42 weeks in a year. So, according to your analysis in 2018 Apple will sell 77M / 13 * 42 = 249M. And yet they never sold that many nor are they going to sell this many this year. And this is why AAPL is down today.
Since when are there 42 weeks in a year?

Apple is down because Wallstreet doesn't respect profitability and the whole market is getting hit. They crave growth and despite growing at 13% y/y on top and bottom lines, traders these days are focused on arbitrary iPhone unit sales for a 90 days period. Let the sellers sell. Value wins in the end. Apple made $20B in profit. AMZN made $2B
 
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Dividends, buybacks and M&A. Luca Maestri told the Financial Times that they see Apple reducing its net cash position to $0. It’s around $135 billion right now after the one-time repatriation tax and the EU fine.

I think this is misunderstood.

As far as I know this was meant, that all profit that Apple will make from now on, it will be returned to the shareholders.

So the cash reserves wont rise anymore, but will stay the same, not going to 0.

In $135 billion they have enough cash for now for all M&A, R&D, etc. for the foreseeable future.
[doublepost=1517588921][/doublepost]ps: The problem is that Wall Street isn't used to seeing such growth and this numbers as Apple has, and the narrative Apple is doomed was born! Simply put, they are talking rubbish, when referring to Apple.
 
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Apple has to be the most manipulated stock in the S&P 500. Amazing how much stupid selling there can be.

You are 100% correct and I'm struggling to see the problem with $60-$62B in revenue guidance for Q2. This would not only be the biggest ever, but almost 20% revenue growth y/y.

The iPhone unit sales have to be the biggest Wallstreet farce for any publicly traded company. They are not only NOT provided by Apple, but are completely projected based on guesses from analysts. Also, the $800 ASP is FAR better than consensus estimate, so the unit sales "miss" in Q1 was completely offset by almost $50/iPhone better ASP. They did almost $62B in iPhone sales versus $54B in the same quarter last year.

13% y/y revenue and profit growth. $20B in profit.

I worry Apple will never get the respect it deserves. Amazon announces they are now making 3% margins and their stock rallies 6%. Absolutely ridiculous.
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Since when are there 42 weeks in a year?

Apple is down because Wallstreet doesn't respect profitability and the whole market is getting hit. They crave growth and despite growing at 13% y/y on top and bottom lines, traders these days are focused on arbitrary iPhone unit sales for a 90 days period. Let the sellers sell. Value wins in the end. Apple made $20B in profit. AMZN made $2B

You are correct it was a typo that started with my calculations. So the right numbers should be:

77M / 13 * 52 = 308M

That's about 100M more than Apple actually sells. Just shows that not all weeks in a quarter (or year to that matter) are equal and extrapolating 13 weeks quarter to a 14 weeks quarter is a meaningless exercise.
 
Why do they need to come up with a new "transformational" product? And what's wrong with iPhone sales (for example) leveling off and staying at a fixed 225 million per year to upgraders? Call it a commodity company, but I don't know how anyone could be unhappy with $150+ billion a year in revenues selling a "commodity" at near 40% margins.

I think Apple needs to focus more on services right now and bring additional value/features to the iOS ecosystem. This will ensure continued long-term sales of devices while also bringing in extra revenue.

Because Apple's stock price is based on expectations of future growth. They've been pretty flat for the past three years and this was supposed to be the year the X triggered the upgrade supercycle as all those customers who deliberately passed on the iPhone 7 because of the hype surrounding the upcoming model (Tim's excuse for Y-o-Y decline in Q2 17) suddenly jumped back in and triggered a massive increase in unit sales. That didn't happen even though the people that did buy were willing to shell out $1,000 for the X and drive ASP up. That isn't a recipe for long-term growth though.

Also, Apple has a reputation as the leading technology company in the world right now. I know very few people who are passionate about Apple's past world-changing developments that want them to turn into IBM and live off yearly incremental updates. Apple is expected to be the company that continues Steve Jobs' legacy of identifying the next untapped market and developing a revolutionary product that people didn't even realize they needed.
 
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