-
Apple reports fiscal first-quarter earnings on Thursday.
-
Investors will be watching iPhone sales in China and commentary around the launch of the Vision Pro.
-
The company’s stock is down 3.8% in 2023, trailing the market.
Apple will report first-quarter earnings on Thursday after the closing bell.
iPhone sales in China, growth of the company’s high-margin Services business, and commentary around this week’s launch of the Vision Pro will be top of mind for Wall Street analysts during Apple’s earnings conference call.
Apple’s stock was down 3.8% year-to-date through Wednesday’s close, lagging the benchmark S&P 500, which is up 1.8%.
Commentary surrounding iPhone sales in China will be a key focus for investors, Bloomberg Intelligence says
Apple’s iPhone sales in China have faced several headwinds in recent months as weakness in the Chinese economy has become more apparent, and that could have an impact on Apple’s first-quarter results.
“Apple’s 1Q results will likely indicate iPhone sales pressure in the greater China region amid increased competition from Huawei and reduced consumer spending,” Bloomberg Intelligence analyst Anurag Rana said in a recent note.
Rana also wrote that in addition to commentary about potential App Store changes due to regulations, investors will be eager to hear about progress in the launch of the Vision Pro. Rana estimates that Apple could generate $1.5 billion in Vision Pro sales this year.
Apple’s consensus first-quarter revenue estimate is $117.97
1st quarter
-
Revenue estimate: $117.97 billion
-
Products revenue estimate: $95.14 billion
-
iPhone revenue estimate: $68.55 billion
-
Mac revenue estimate: $7.9 billion
-
iPad revenue estimate: $7.06 billion
-
Wearables, home and accessories estimate: $12.02 billion
-
-
Service revenue estimate: $23.37 billion
-
Greater China rev. estimate: $23.5 billion
-
EPS estimate: $2.11
-
Operating cash flow estimate: $34.58 billion
-
Total operating expenses estimate: $14.62 billion
-
Gross margin estimate: $53.56 billion
-
Cash and cash equivalents estimate: $38.81 billion
-
Cost of sales estimate: $65.01 billion
-
Total current assets estimate: $157.25 billion
-
Total current liabilities estimate: $142.36 billion
Source: Bloomberg
Read the original article on Business Insider