The upcoming report from Apple (AAPL) is expected to reveal quarterly earnings of $2.36 per share, indicating an increase of 8.3% compared to the year-ago period. Analysts forecast revenues of $124.04 billion, representing an increase of 3.7% year over year.
The current level reflects a downward revision of 1.1% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
Given this perspective, it's time to examine the average forecasts of specific Apple metrics that are routinely monitored and predicted by Wall Street analysts.
According to the collective judgment of analysts, 'Net Sales- Products' should come in at $97.64 billion. The estimate indicates a change of +1.2% from the prior-year quarter.
Analysts' assessment points toward 'Net Sales- Services' reaching $26.18 billion. The estimate suggests a change of +13.2% year over year.
The average prediction of analysts places 'Revenue- Mac' at $8.33 billion. The estimate indicates a change of +7% from the prior-year quarter.
The collective assessment of analysts points to an estimated 'Revenue- iPhone' of $69.19 billion. The estimate indicates a year-over-year change of -0.7%.
Based on the collective assessment of analysts, 'Revenue- Wearables, Home and Accessories' should arrive at $12.55 billion. The estimate indicates a change of +5% from the prior-year quarter.
The consensus among analysts is that 'Revenue- iPad' will reach $7.39 billion. The estimate indicates a change of +5.2% from the prior-year quarter.
The combined assessment of analysts suggests that 'Geographic Revenue- Greater China' will likely reach $22.16 billion. The estimate indicates a change of +6.5% from the prior-year quarter.
The consensus estimate for 'Geographic Revenue- Europe' stands at $31.05 billion. The estimate points to a change of +2.2% from the year-ago quarter.
It is projected by analysts that the 'Geographic Revenue- Rest of Asia Pacific' will reach $9.91 billion. The estimate indicates a change of -2.5% from the prior-year quarter.
Analysts predict that the 'Geographic Revenue- Japan' will reach $7.71 billion. The estimate suggests a change of -0.8% year over year.
Analysts forecast 'Geographic Revenue- Americas' to reach $52.23 billion. The estimate points to a change of +3.6% from the year-ago quarter.
Analysts expect 'Gross margin- Services' to come in at $19.36 billion. Compared to the present estimate, the company reported $16.84 billion in the same quarter last year.
View all Key Company Metrics for Apple here>>>
Over the past month, shares of Apple have returned -12.8% versus the Zacks S&P 500 composite's +1.1% change. Currently, AAPL carries a Zacks Rank #4 (Sell), suggesting that it may underperform the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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