Important points
- Apple will report earnings after the market closes on Thursday, the company’s first report since the launch of the iPhone 16.
- The company is expected to report year-over-year increases in sales and net income.
Analysts are focusing on the second half of the iPhone 15 shipping cycle and the first half of the iPhone 16 update cycle. - The stock is expected to rise about 20% in 2024, but Wall Street analysts don’t expect it to rise much further at this point.
Apple (AAPL) will report earnings after the market closes on Thursday, the company’s first since the launch of the iPhone 16 in September.
The world’s most valuable company (with a market value of more than $3.5 trillion) is expected to see revenue of $94.58 billion, up more than 5% year-over-year, according to Visible Alpha. TheStreet’s net income is expected to be $22.49 billion, or $1.48 per share, compared with $22.96 billion, or $1.46 per share, in the year-ago period.
| Analyst forecasts for Q4 2024 | Q3 2024 | Q4 2023 | |
| revenue | $94.58 billion | $85.78 billion | $89.5 billion |
| Earnings per share | $1.48 | $1.40 | $1.46 |
| net profit | $22.49 billion | $21.45 billion | $22.96 billion |
Key Metric: Late Cycle iPhone 15 Shipments
Apple’s fiscal fourth quarter includes the very beginning of the iPhone 16 cycle, but iPhone 15 shipments will be a big contributor to whether the company beats expectations, Morgan Stanley analysts said.
The company raised its forecast for 55 million iPhones shipped in the quarter, up from 52.5 million and above the street consensus of 50 million. The company said the latest upward revision “more than compensates” for the expected slump in Mac sales.
Business Spotlight: iPhone 16 performance in China
According to cited data from Counterpoint Research, the iPhone 16 outperformed its predecessor by 20% in the first three weeks after its release in China. bloomberg.
Wedbush analysts said the report supports the theory of a Chinese iPhone rebound. The company estimates that around 300 million iPhones worldwide have not been upgraded, paving the way for an “AI-driven supercycle led by iPhone 16.”
Mr. Wedbush said that Apple “[artificial intelligence] Part of the Chinese market. ”
Apple stock has risen about 20% since the beginning of the year, closing Friday at $231.41. Wall Street analysts generally rate the stock as bullish, but Visible Alpha’s consensus price target of $240.87 is only about 4% above Friday’s closing price.
