Apple stocks ๐
Do you feel satisfied with the latest earnings results?
With both revenue and EPS of Q1FY23 not meeting streetโs expectation, itโs is certainly not something encouraging in the eyes of investors and perhaps starts questioning if Apple has lost its days of glory. However, I would beg to differ.
Apart from the challenging macroeconomic outlook (strong USD, geopolitical issue, Fedโs interest rate hike, fear of potential recession, high inflation, etc.) which resulted in a non-favorable quarter results for most if not all those mega cap companies (no exception to all times favorite in stock markets), Appleโs supply chain constraint associated with the disruption of its assembly facility in Zhengzhou, China ( which at one point, claimed to make about 85% of the Pro lineup of iPhones) is indeed a huge blow that resulted in a plummet in its revenue and EPS. As such, Iโm satisfied with their latest earnings results which the shortfalls are totally justifiable.
Whatโs your opinion or analysis about the company toward 2023?
Below are my opinions about Apples toward 2023:
The turmoil at its China assembly facility has been an awakening call for Apple executives to further expedite on diversifying its supply chain by moving out from China.->
The risk of potential recession remains there which might affects peopleโs buying power and to spend less on electronic gadgets ->
The US dollar appreciated over 12% in 2022, hitting a two-decade high in September 2022, but has trended weaker since then following Fedโs less aggressive monetary policy. ->
Apple does a good job at refreshing product portfolio to incorporate new technology, including its ARM architecture supported by the M-series chips. HomePod, M2 & M2 Pro Mac mini, 14/16โ M2 Pro/Max MacBook Pro and more to come is going to stir up market excitement.->
Service segment (the sales of app & digital medias) is likely to reach a greater height after recorded its highest revenue in Q1FY23. ->
It's unusual for Apple to have two materially negative years in a row (the last time was during the dot.com crash in the early 2000s), so the odds favour the bulls in 2023? ->
All in all, I have strong faith in Apple still and looking forward to Apple stock to rally in 2023!
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only.
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