Instant View: Apple smashes expectations and shares rise
NEW YORK |
NEW YORK (Reuters) - Apple Inc blew past Wall Street expectations for its fiscal second quarter, fueled by solid demand for iPhones, sending its shares up 2 percent after hours.
The following are immediate comments from investors and analysts:
HENDI SUSANTO, ANALYST, GABELLI & CO
"I think Apple results are very strong especially on iPhone sales. Apple can still do CDMA iPhone growth beyond Verizon, in other words going to international carriers. IPad shipments were significantly lower than my estimates I think because of supply constraints. What impressed me was the gross margin."
"I expect in the call people will want to know what the gross margins projections look like. They may anticipate whether there could be some Japanese earthquake impact. I expect management to provide some insight into the supply constraint situation with the iPad 2, how much they can ramp up."
CHANNING SMITH, PORTFOLIO MANAGER, CAPITAL ADVISORS GROWTH FUND
"Dynamite numbers across the board. The only hiccup is lower than expected iPad numbers."
"I think we can attribute some of the weakness to stocking issues at some of the retail outlets and obviously the supply chain issue in Japan. Unfortunately, the supply chain issue will likely persist for the coming months but once we get past summer and the supply chain issues are resolved it's all systems go again for Apple."
"Analysts continue to underestimate the Apple growth story. Apple is one of the most, or the most, attractive growth investments out there."
ASHOK KUMAR, ANALYST, RODMAN & RENSHAW
"I think as always it was a blowout quarter. Even the legacy iPad -- the decline is more modest. I think it was ahead of the iPad 2 launch. It shows the superiority of the product relative to the competition."
"In the current quarter we expect a pause in iPhone sales before the launch of iPhone 5 in September. I think overall, the momentum continues."
SCOTT SUTHERLAND, ANALYST, WEDBUSH SECURITIES
"The iPhones were really solid, iPads a little light. There's a lot of questions about the iPad 2."
"I don't think Japan's going to be nearly that much. If you look at Japan being 6 percent of total revenue, there was not a 6 percent shortfall on tablets, it's bigger than that, so I think there's going to be a lot of questions about the timing of when they recognize the iPad 2 sales."
TRIP CHOWDHRY, ANALYST, GLOBAL EQUITIES RESEARCH
"I think the numbers that came up are very good. They beat on the top line, they beat on the bottom line. It all depends upon what we hear from the company on the conference call if there is anything anecdotal we can hear."
"The gross margins are still up. Apple is having very good operational control. I would say considering the data points we were getting that we may be getting some margin pressure (but) the results don't show that."
"I think on the positive side the Mac sales came across pretty strong which is a little surprising considering the fact that PC sales should have been somewhat lackluster."
COLIN GILLIS, ANALYST, BGC PARTNERS
"It's Apple. It's the best growth company in technology right now. The valuation is very reasonable -- 15 times earnings.
"You've got a company, it's best capturing the profits going on in the mobile space. The iPhone continues to set records."
"The iPad numbers were light though not really surprised. We don't even have full year data on it. Also in the quarter the product got refreshed. I was looking for 6 million in sales." (Apple sold 4.69 million iPads in the quarter)
(Reporting by Jennifer Saba and Noel Randewich)
- Tweet this
- Share this
- Digg this