Comments on: Bearish grunts from a pair of Apple bulls

By: JPO, Doylestown, PA

JPO, Doylestown, PA — Wed, 22 Apr 2009 20:54:02 +0000

Apple Inc. reported a surprise gain in net income for its second fiscal quarter as sales for the period came in better than expected. For the quarter ended March 31, Apple (AAPL: 121.51, -0.25, -0.2%) reported net income of $1.2 billion, or $1.33 per share, compared to earnings of $1 billion, or $1.16 a share, for the same period the previous year. Sales grew 9% to $8.17 billion for the quarter. Analysts were expecting Apple to report earnings of $1.09 per share on revenue of $8 billion, according to consensus estimates from FactSet Research.

2.22 MM macs – representing a 3% decline YOQ

11.01 MM ipods – representing a 3% increase YOQ

3.79 iPhone – representing a 123% increase YOQ

Gross Margins – 36.4% up from 32.9% YOQ

THEIR MARGINS ARE INCREASING IN A DIFFICULT ECONOMIC TIMES – HAHAHAHA

Absolutely FUKING amazing. Slight decline in macs (especially since the hot selling Macbook Air was released YOQ), but everything else is firing on all cylinders. iPods continue to show growth, and iPhones are still selling at a good clip.

All these numbers trounce the idiot ANALyst estimates.

Oh, and 30 billion in cash!

By: Dan Butterfield

Dan Butterfield — Wed, 22 Apr 2009 20:49:07 +0000

Props to Turley Muller who predicted 1.32 EPS (1.33 actual) and nailed the gross margins angle very close on Mac numbers too.

By: KenC, Gardiner, Maine

KenC, Gardiner, Maine — Tue, 21 Apr 2009 23:15:04 +0000

My own predictions, no I didn't go to law school, and no I didnt' stay at a Holiday Inn Express, are:

$8.3B GAAP

$9.1B non-GAAP

3.5M iPhones shipped

$1.29 eps

all assuming normal inventory levels maintained of 5 to 6 weeks.

By: Mister Snitch, Hoboken, NJ

Mister Snitch, Hoboken, NJ — Tue, 21 Apr 2009 22:12:51 +0000

"Zaky, who has been heavily invested in Apple all this time, has sold his shares."

I'm impressed with Zaky. Obviously he is an Apple booster who knows when to take a profit – a rare breed.

By: iphonerulez, Brooklyn, New York

iphonerulez, Brooklyn, New York — Tue, 21 Apr 2009 20:53:35 +0000

Jeez. I thought Apple was supposed to be the world's greatest tech stock going. RIM was able to beat it's numbers and got a huge pop on earnings and yet Apple, which is supposed to be magnitudes of a better company than RIM is going to fall flat on it's face. WTF?!!!

What good are all those Retail Stores, iPhone deferred payments, better than average customer service and huge cash reserve doing for this company and it's investors? What the hell happened to all those iPhones that Munster said Apple was going to sell in 2009. How many?! Up to 45 million of them. Has Apple sold even 5 million, yet? I'm just a little puzzled about how such a great company can't even get a little pop at earnings time. Never mind. Maybe next quarter, for sure. I won't bother to follow the analysts, I'll just look into my crystal ball.

By: APPLWatch SF CA

APPLWatch SF CA — Tue, 21 Apr 2009 20:35:18 +0000

"I’m a law school graduate and I’ve been trading for 10+ years, but CNN is not citing my thoughts."

Have you gone out on a limb and made predictions/estimates in public? Guys like Zacky (and Munster) aren't afraid to publish their thoughts. If they are right enough times, they get picked up by the press. Fortune covers Zacky, because he nailed some numbers a while back, and isn't afraid to challenge the establishment publicly.

Go start analyzing/posting on your own blog, and and commenting intelligently around on some financial boards. Maybe then CNN will cite you.

Attacking the coverage someone else gets based on their photo, school and fewer years of exp. than you, without posting your own online track record of analysis? Not a great start.

By: James Troy, MI

James Troy, MI — Tue, 21 Apr 2009 19:27:48 +0000

Gene has been sport on about this company. He was telling to buy at $85 and he's been saying trim (not sell all) from $105 to $120. If Gene is getting less bullish on the stock it's probably time to sell.

By: Turley Muller, Memphis

Turley Muller, Memphis — Tue, 21 Apr 2009 19:25:28 +0000

I think Apple can exceed $1.30, even on soft revenue numbers. The consensus EPS estimate of 1.08 is too low because of the gross margins assumptions being way too low. Last Q was 34.7%, and this quarter will be much higher 36.5-37%, but the consensus estimate implies A gross Margin of around 33%.

That's where AAPL will surprise allowing it to beat the EPS number even is Revenue misses.

By: Brice, Fesno, California

Brice, Fesno, California — Tue, 21 Apr 2009 18:39:55 +0000

I don't mean to be too cynical, but why should I trust Zacky? He's been trading 6-7 years and is a UCLA law school graduate… and???? No offense, I'm sure he's competent, but to be honest I'm a law school graduate and I've been trading for 10+ years, but CNN is not citing my thoughts. I just wonder what position the writer here is trying to push and why he's citing Zacky to do it? Zacky's blog spot photo looks like a guy at a frat party. Again, I don't mean any disrespect, just not sure why Munster and Zacky are being compared in the same article. It's amazing to me who the "experts" are and how someone on blogspot is getting cited in a national forum.

By: Scott E, Memphis, TN

Scott E, Memphis, TN — Tue, 21 Apr 2009 17:45:48 +0000

Yeah, Turley. What say you?

ex ped: I posted his numbers a few comments down.