Technology

Apple, Inc. Q3 Earnings Preview: All Eyes On September Guidance

Apple Inc. (NASDAQ:AAPL) is scheduled to report its June quarter results on Tuesday, July 22 after the market closes. Expectations are already high. Most analysts expect the tech giant to handily beat its Q3 revenue guidance of $36-$38 billion. Supplier barometer suggests that sales were very strong in June. Wells Fargo analyst Maynard Um said in a research note earlier this month that Apple’s aggressively promotional activity and new carrier partners should boost sales. The company has added 16 new partners since the end of April, taking the total to 332 partners.

Apple, Inc. Q3 Earnings Preview: All Eyes On September Guidance

Will Apple really set a new record for June quarter?

Goldman Sachs analysts Bill Shope, Matthew Cabral and Justin Price said in a research note that they expected the company to report $37.42 billion in Q3 revenues and $1.20 in EPS. That’s well below the Wall Street consensus of $37.92 billion in sales and $1.23 in EPS. Goldman Sachs expects gross margins of 37.9% in Q3 and 38.4% in Q4.

Goldman Sachs forecasts Apple to sell 32.7 million iPhones during the June quarter, up 4.7% YoY, but down 25.2% QoQ. The sequential decline was expected as Apple gears up to launch the iPhone 6 this fall. The iPad unit shipments are expected to jump 5.3% YoY to 15.4 million units. Demand in the tablet industry has been slowing for the past several quarters, which could hurt the iPad sales.

All eyes on Apple’s September quarter guidance

But all eyes will be on the September quarter guidance, which would give a sneak peek into the timing of the iPhone 6 release. Like many other research firms, Goldman Sachs expects Apple to release the iPhone 6 in September. Its launch would affect revenues for just a couple of weeks in September, giving a muted boost to the numbers.

For the all-important September quarter, Goldman Sachs forecasts $41.79 billion in revenues and $1.43 per share in earnings. That’s higher than the Wall Street consensus of $40.48 billion and $1.34, respectively. The research firm says Apple’s iPhone shipments would rise 16.8% YoY to 39.5 million during the fourth quarter. The Cupertino-based company’s gross margin guidance will also provide insights into how margin dilutive the new products will be.

Analysts expect Apple to have spent $6 billion on buybacks during the June quarter. Goldman Sachs has a Buy rating on the stock with $107 price target. Apple shares fell 0.76% to 94.03 at 11:24 AM EDT on Thursday.

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  • DEVVVV

    Wow this BlackBerry loyalist is certainly trying to save his investment, Apple fans get over to Blackberry’s ticker news and protect yours.

  • DEVVVV

    Hey this guys a BlackBerry fan, what is he doing here?

  • DEVVVV

    Well it’s going to be over for BlackBerry, they are focusing on enterprise, what a big mistake, now that their is now big competition. On BlackBerry’s ticker Page new BB loyalist are slamming Apple left and right, get over there and protect your investment.

  • imvho

    The Guardian reported on the benzine/n-hexane issue, where Apple, Samsung, Dell, and HP were asked to stop using the two chemicals:

    http://www.theguardian.com/technology/2014/mar/12/apple-harmful-chemicals-factories-labour

    “An Apple spokesperson told the Guardian that it requires all its
    suppliers to meet or exceed the safety standards for the handling of
    hazardous chemicals set by the US Occupational Safety and Health
    Administration (Osha), which is 500 parts per million (ppm) for n-hexane
    in general industry or 1.8g per cubic metre, and 1ppm for benzene.”

    By applying OSHA standards to its suppliers worldwide, Apple goes farther than most to protect workers and support a safe and healthy work environment.

  • imvho

    You might want to cover before next Wednesday.

    I’m just sayin’…

  • imvho

    China Mobile is on track to sell 100M phones to new 4G users this year, and so far

    “Most of them are iPhones”.

    Just more and more profits adding to their $158B overseas stash.

    Yawn.

  • mds

    AAPL is not going sub $90. Hardy, All you see here is covering the massive call volume at $95 expiring tomorrow. They don’t need to push it that low. Next weeks biggest call is $98.
    They dump a bunch to scare people. If it goes over $95 they have to deliver the shares at $95 no matter how high they are when executed. Worse, if you sold naked calls you now have to buy it wherever it is and deliver it at $95.
    China Yawn?…..Hardy….But the IBM news is bigger.. Now enterprise is over for all others.

  • joseph kiska

    Apple Denies China’s Allegation That iPhone Designed for Spying

    By Julie S [email protected] | Jul 13, 2014 02:39 PM EDT

    Apple explained to their Chinese customers that the tracking feature on their iPhone cannot be used to spy on an individual, as claimed by a Chinese television channel. (Photo : Reuters)

    Apple has explained that the iPhone tracking feature cannot be used to spy on an individual, as recently claimed by a Chinese television station.

    On Friday, the China Central Television (CCTV) broadcasted that the tracking feature on Apple’s iPhone is capable of collecting data regarding an individual’s activities and this can be used in accessing and leaking state secrets. The report also criticized the “frequent locations” functions in the iOS 7 which captures users’ time and location, the Wall Street Journal reported.

    Read more at http://www.stockhouse.com/companies/bullboard/aapl/apple-inc#5jEPuXZiRLSdflTS.99

  • joseph kiska

    Inside Apple’s Chinese ‘sweatshop’ factory where workers are paid just £1.12 per hour to produce iPhones and iPads for the West
    Factories covered in suicide nets to stop workers leaping to their deaths
    18 people have killed themselves at the facility
    iPhone, iPad and MacBook assembled in factory in Shenzhen
    Microsoft, Dell and Hewlett Packard products also built on site

  • joseph kiska

    Apple’s new iPhones a yawn in China

  • joseph kiska

    Time to Ditch Apple Inc. iPhone and Go Back to BlackBerry Ltd. (and Buy the Stock too)

    Written By: James West|

    July 9, 2014|

    Posted In:

    Top Stories

    It’s been a really swell party, with me and my 3 generations of Apple (NASDAQ:AAPL) iPhones. But it’s time to go back to the grown-ups world of BlackBerry Ltd (NASDAQ:BBRY)(TSE:BB). After 4 years with an iPhone, there’s one key reality that has dawned on my daily for just about the last year: If you want a toy, buy an iPhone. But if you want a tool, you need BlackBerry.

    I first ventured into iPhone land after my BlackBerry tumbled out of my pocked and into a sewer as I was tumbling into a cab after a raucous night in downtown Toronto. At the time, I was particularly open to the idea because I was in a new relationship with my Macbook Pro, which, after 20 years as a Microsoft drone was like waking up out of a coma. Apple, at the time, was making all the right moves under Steve Jobs, and BlackBerry was just embarking on a downward spiral which has only recently reversed course.

    Apple vs.BlackBerry

    Apple does some things very well. The interconnectivity and syncronicity of accounts across imap and PoP iterations across multiple devices still has to be the one aspect of Apple devices and software that I appreciate the most. Things like intuitively finding the right network, detecting bluetooth and now texting to other iCloud users on devices other than the iPhone are all positives.

    But things like contacts and calendars seem to be a perennial thorn in Apple’s side. For example, not being able to just dump contacts to a csv or txt file is a source of continuous wonderment for me. Why try to force me into your shoebox if I don’t want to be in your shoebox?

    Now don’t get me wrong. BlackBerry will have its fair share of device-specific deviations to frustrate and annoy, I’m sure. But I’m thinking they will be minuscule in comparison to what I’ve been enduring with Apple for the last 4 years.

    The main catalyst in the return to BlackBerry is the keyboard. Four years of trying to master the touchless keypad has taught me an irrefutable truth: touchless keypads suck. At least for someone like me, whose hands are generally larger than the average.(but not my feet…what’s up with that??).

    At any rate, I’ve literally started dreaming of the glorious quick-paced downtown lemming race, where on crowded sidewalks and with satchel dangling from one hand I could easily publish one-handed text messages to colleagues, multi-tasking effectively across transportation and communication with every step.

    If you’ve ever tried to do that with an iPhone, it will be a miracle if the result is intelligible. More likely it will say something like ‘sorry running llama…be there in finicky’. Useless.

    Plus, if I have to do one more iOS update, I’m going to throw my phone against the wall.

    There are other aspects of the iPhone which experience has taught me render it less suitable for business and more suitable to juvenile pursuits. Facebook is a juvenile pursuit, Twitter is an important tool that drives traffic to my web site.

    One might consider one’s music collection more of a ‘juvenile pursuit’, but I can assure you, as a writer, the ability to block out the surrounding cacophony in crowded places makes reliable access to thinking music an absolute pre-requisite in many cases. And that’s one area where iPhone, and in fact, all Apple devices have fallen down for years, and seem to be able to find fresh depths of stupidity when it comes to the architecture of that notorious destroyer of musical libraries – iTunes. iTunes, and its accomplices Match and Genius, have collectively wiped out nearly all of my 90?s and early 00?s obscure playlists of old Pete Tong and Sasha and the other now-impossible-to-buy recordings.

    While I appreciate the information technology industry’s persistent delusion that somehow forcing users into proprietary management software for everything different file type is somehow smart business, BlackBerry’s ability to just store mp3?s as mp3?s in simple file architectures is one of those long-missed simplicities about BlackBerry that I’m excited to re-experience. My iPhone is such a complete waste of time when it comes to music that I never use it to store songs anymore, and will only stream audio from online radio stations when convenient.

    I’m Not the Only One Abandoning Apple

    Let’s face it. Since the demise of Steve Jobs, Apple is looking increasingly like a ship adrift. Yes, sales continue to be strong, and the iPad is indeed the greatest thing since sliced bread, but apart from that, the strategy as it pertains to business use can only be categorized as random.

    It’s as if Apple wants to attract an adult business crowd, but insists that if you dine with Apple you must sit at the kid’s table. Sounds like fun for one meal, maybe. But every meal? No thanks.

    Even the U.S. Military has reversed direction on what initially appeared to be their intention to support Apple devices.

    According to an article at Nextgov.com:

    “A Pentagon system intended to secure a mix of brand name smartphones for warfighters will primarily support BlackBerrys when the tool starts launching later this month, according to Defense Department officials.

    About 80,000 BlackBerrys and 1,800 Defense-owned Apple and Android-based phones and tablets will begin being hooked up to the new management system on Jan. 31, officials announced on Friday.”

    Is BlackBerry Stock Finally a ‘Buy’?

    This all leads to the question, is BalckBerry now a ‘buy’? It certainly is according to some people. In an interview with Damian Wojcichowsky, senior technology analyst with Jacob Securities in Toronto, the case was made that new BlackBerry CEO John Chen’s turnaround strategy was indeed just that.

    According to Wojcichowsky, “I mentioned that the bears focus in on the hardware business and whether or not they’re going to resume selling devices. I think that’s the wrong way to look at it. I think you want to look at where QNX is selling through – we heard the Ford announcement that they’re ripping out Microsoft and using QNX in their automobiles. That announcement on its own put Blackberry through QNX into something like 70% of the automobiles that are being sold out there. Those are good numbers. Those are things that I don’t think are being reflected in the stock price at this point.”

    BlackBerry stock is up 56% since touching a low of $7.82 back in April 2014. While the company is not out of the woods yet, it certainly looks like the strategy to focus on business users is having the desired effect.

    Read more at http://www.stockhouse.com/companies/bullboard/t.bb/blackberry#6oYOmQy6Mp6WJhg8.99

    Written By: James West|

    July 9, 2014|

    Posted In:

    Top Stories

    It’s been a really swell party, with me and my 3 generations of Apple (NASDAQ:AAPL) iPhones. But it’s time to go back to the grown-ups world of BlackBerry Ltd (NASDAQ:BBRY)(TSE:BB). After 4 years with an iPhone, there’s one key reality that has dawned on my daily for just about the last year: If you want a toy, buy an iPhone. But if you want a tool, you need BlackBerry.

    I first ventured into iPhone land after my BlackBerry tumbled out of my pocked and into a sewer as I was tumbling into a cab after a raucous night in downtown Toronto. At the time, I was particularly open to the idea because I was in a new relationship with my Macbook Pro, which, after 20 years as a Microsoft drone was like waking up out of a coma. Apple, at the time, was making all the right moves under Steve Jobs, and BlackBerry was just embarking on a downward spiral which has only recently reversed course.

    Apple vs.BlackBerry

    Apple does some things very well. The interconnectivity and syncronicity of accounts across imap and PoP iterations across multiple devices still has to be the one aspect of Apple devices and software that I appreciate the most. Things like intuitively finding the right network, detecting bluetooth and now texting to other iCloud users on devices other than the iPhone are all positives.

    But things like contacts and calendars seem to be a perennial thorn in Apple’s side. For example, not being able to just dump contacts to a csv or txt file is a source of continuous wonderment for me. Why try to force me into your shoebox if I don’t want to be in your shoebox?

    Now don’t get me wrong. BlackBerry will have its fair share of device-specific deviations to frustrate and annoy, I’m sure. But I’m thinking they will be minuscule in comparison to what I’ve been enduring with Apple for the last 4 years.

    The main catalyst in the return to BlackBerry is the keyboard. Four years of trying to master the touchless keypad has taught me an irrefutable truth: touchless keypads suck. At least for someone like me, whose hands are generally larger than the average.(but not my feet…what’s up with that??).

    At any rate, I’ve literally started dreaming of the glorious quick-paced downtown lemming race, where on crowded sidewalks and with satchel dangling from one hand I could easily publish one-handed text messages to colleagues, multi-tasking effectively across transportation and communication with every step.

    If you’ve ever tried to do that with an iPhone, it will be a miracle if the result is intelligible. More likely it will say something like ‘sorry running llama…be there in finicky’. Useless.

    Plus, if I have to do one more iOS update, I’m going to throw my phone against the wall.

    There are other aspects of the iPhone which experience has taught me render it less suitable for business and more suitable to juvenile pursuits. Facebook is a juvenile pursuit, Twitter is an important tool that drives traffic to my web site.

    One might consider one’s music collection more of a ‘juvenile pursuit’, but I can assure you, as a writer, the ability to block out the surrounding cacophony in crowded places makes reliable access to thinking music an absolute pre-requisite in many cases. And that’s one area where iPhone, and in fact, all Apple devices have fallen down for years, and seem to be able to find fresh depths of stupidity when it comes to the architecture of that notorious destroyer of musical libraries – iTunes. iTunes, and its accomplices Match and Genius, have collectively wiped out nearly all of my 90?s and early 00?s obscure playlists of old Pete Tong and Sasha and the other now-impossible-to-buy recordings.

    While I appreciate the information technology industry’s persistent delusion that somehow forcing users into proprietary management software for everything different file type is somehow smart business, BlackBerry’s ability to just store mp3?s as mp3?s in simple file architectures is one of those long-missed simplicities about BlackBerry that I’m excited to re-experience. My iPhone is such a complete waste of time when it comes to music that I never use it to store songs anymore, and will only stream audio from online radio stations when convenient.

    I’m Not the Only One Abandoning Apple

    Let’s face it. Since the demise of Steve Jobs, Apple is looking increasingly like a ship adrift. Yes, sales continue to be strong, and the iPad is indeed the greatest thing since sliced bread, but apart from that, the strategy as it pertains to business use can only be categorized as random.

    It’s as if Apple wants to attract an adult business crowd, but insists that if you dine with Apple you must sit at the kid’s table. Sounds like fun for one meal, maybe. But every meal? No thanks.

    Even the U.S. Military has reversed direction on what initially appeared to be their intention to support Apple devices.

    According to an article at Nextgov.com:

    “A Pentagon system intended to secure a mix of brand name smartphones for warfighters will primarily support BlackBerrys when the tool starts launching later this month, according to Defense Department officials.

    About 80,000 BlackBerrys and 1,800 Defense-owned Apple and Android-based phones and tablets will begin being hooked up to the new management system on Jan. 31, officials announced on Friday.”

    Is BlackBerry Stock Finally a ‘Buy’?

    This all leads to the question, is BalckBerry now a ‘buy’? It certainly is according to some people. In an interview with Damian Wojcichowsky, senior technology analyst with Jacob Securities in Toronto, the case was made that new BlackBerry CEO John Chen’s turnaround strategy was indeed just that.

    According to Wojcichowsky, “I mentioned that the bears focus in on the hardware business and whether or not they’re going to resume selling devices. I think that’s the wrong way to look at it. I think you want to look at where QNX is selling through – we heard the Ford announcement that they’re ripping out Microsoft and using QNX in their automobiles. That announcement on its own put Blackberry through QNX into something like 70% of the automobiles that are being sold out there. Those are good numbers. Those are things that I don’t think are being reflected in the stock price at this point.”

    BlackBerry stock is up 56% since touching a low of $7.82 back in April 2014. While the company is not out of the woods yet, it certainly looks like the strategy to focus on business users is having the desired effect

    Read more at http://www.stockhouse.com/companies/bullboard/aapl/apple-inc#SYLsskV5HL8kslMe.99

  • joseph kiska

    sell now before report APPLE GOING SUB 90

  • joseph kiska

    Protesters hope to pressure Apple to nix benzene and n-hexane, which are used in iPhone production

    (Photo: Philippe Lopez, Getty Images)

    25CONNECT 8TWEETLINKEDIN 2COMMENTEMAILMORE

    Apple’s labor practices are under attack by two activist groups who contend the company makes its iPhones with a hazardous mix of chemicals that threaten the health of factory workers assembling the devices in China.

    The campaign began Wednesday with an online petition put together by China Labor Watch, a longtime Apple critic, and Green America, an environmental protection group.

    If enough consumers sign the “Bad Apple” petition, the two groups hope to pressure the company into abandoning the use of two chemicals, benzene and n-hexane, in the production of the iPhone, Apple’s top-selling product.

    Benzene is a carcinogen that can cause leukemia if not handled properly and n-hexane has been linked to nerve damage.

    In a statement, Apple pointed out that it has already stopped using many hazardous chemicals, including PVC plastic and brominated flame, during the past few years to the acclaim of environmental groups such as Greenpeace. The Cupertino, Calif. company also says it ensures all remaining toxic substances comply with U.S. safety standards.

    “Last year, we conducted nearly 200 factory inspections which focused on hazardous chemicals, to make sure those facilities meet our strict standards,” Apple said.

    The protesting groups believe Apple’s factory inspections and publicly released reports about the findings have been whitewashing the real working conditions. They say they suspect many of the estimated 1.5 million workers in overseas factories hired by Apple are still logging grueling hours and, in some cases, being exposed to dangerous materials without proper training.

    “Apple touts itself as a socially responsible leader in the tech industry, but to really be a leader, Apple must put a stop to worker poisoning and ensure sick workers are receiving treatment,” said Elizabeth O’Connell, Green America’s campaign director.

    Coming up with a safer manufacturing recipe for the iPhone would cost less than $1 per device, O’Connell estimated. That’s a pittance for a company that earned $37 billion during its last fiscal year.

    READ MORE: Group accuses Apple supplier of labor abuses

    Neither benzene nor n-hexane is unique to Apple’s manufacturing process. They are also used in the production of electronics products sold by other large technology companies who have also been criticized for their practices. For instance, last year a South Korean court raised doubts about Samsung Electronics’ claims that the benzene levels in its computer chip factories were safe. The court ruled Samsung hadn’t fully examined the health risk in its chip factories after a 29-year-old worker died of leukemia in 2009.

    Low levels of benzene are also found in gasoline, cigarettes, paints, glues and detergents.

    Apple’s size and success make it an inviting target for groups seeking to draw attention to their causes and perhaps spur changes that are eventually adopted by other companies. Apple boasts a market value of about $480 billion, higher than any other publicly traded company. And the iPhone remains a cultural phenomenon with more than 470 million of the devices sold since the release of the first model nearly seven years ago.

    China Labor Watch has been especially harsh in its criticism of Apple, maintaining that the conditions in its manufacturing contractors’ factories are so oppressive that workers are driven to suicide.

    Apple CEO Tim Cook, though, has steadfastly maintained that the company’s high standards have led to better treatment of the factory workers and reduced suppliers’ reliance on dangerous substances.

    “Since Tim Cook took the helm, Apple’s increased transparency and accountability back down the supply chain has significantly improved, and is quickly becoming a hallmark of his leadership at the company,” Tom Dowdall, a Greenpeace energy campaigner, wrote in a blog post last month.

  • joseph kiska

    Apple Denies China’s Allegation That iPhone Designed for Spying

    By Julie S [email protected] | Jul 13, 2014 02:39 PM EDT

    Apple explained to their Chinese customers that the tracking feature on their iPhone cannot be used to spy on an individual, as claimed by a Chinese television channel. (Photo : Reuters)

    Apple has explained that the iPhone tracking feature cannot be used to spy on an individual, as recently claimed by a Chinese television station.

    On Friday, the China Central Television (CCTV) broadcasted that the tracking feature on Apple’s iPhone is capable of collecting data regarding an individual’s activities and this can be used in accessing and leaking state secrets. The report also criticized the “frequent locations” functions in the iOS 7 which captures users’ time and location, the Wall Street Journal reported.

    SHARE THIS STORY

    Apple didn’t immediately respond to the claim. But, on Saturday, the Cupetino, Calif., company broke its silence and denied the allegation.

    “We appreciate CCTV’s effort to help educate customers on a topic we think is very important,” the company said in the statement, quoted by Businessweek. “We want to make sure all of our customers in China are clear about what we do and we don’t do when it comes to privacy and your personal data.”

    CCTV also criticized other U.S. companies, including Facebook, Google, and Microsoft and stated they can also be used for cyberspying and hacking.

    In June, a commentary published on the “People’s Daily” newspaper stated Google, Facebook, Microsoft, and Apple are working with the United States government to spy on China’s state affairs. CCTV also reported a provincial government in the country was discouraged from acquiring computers with Windows 8 because the operating system could be used in accessing the Chinese government’s secret information.

    CCTV is an influential television channel in China. According to the Wall Street Journal, some companies were forced to recall their products or change their policies after the channel’s crtiques. It’s uncertain if Apple will follow suit, butApple CEO Tim Cook has apologized for allegedly discriminating against the Chinese last year regarding warranty policies.

    Read more at http://www.stockhouse.com/companies/bullboard/aapl/apple-inc#AH6Guu5ZfpP74yMV.99

  • joseph kiska

    Apple Inc AAPL

    Sector: Technology | Sub-Sector: Consumer Electronics

    Apple Inc > Apple’s Chinese suppliers of using child labor and working t

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    Apple’s Chinese suppliers of using child labor and working t

    Apple accused of using Chinese child labor to assemble iPhones and iPads

    Published time: July 29, 2013 14:23

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    A protester holds a placard with an Apple logo on the back of a demonstrator dressed as a Chinese worker as two customers look on from inside a Apple store in Hong Kong on February 26, 2013. (AFP Photo / Philippe Lopez)

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    TagsCorporate news, Employment,Manufacturing

    A US based non-profit advocacy group has accused Apple’s Chinese suppliers of using child labor and working them long hours.

    Three Chinese factories making Apple products run by Pegatron Group violated standards set by Apple, AFP quotes China Labor Watch.

    The organisation said the 70,000 employees at the three Pegatron plants averaged up to 69 hours per week, and that “many workers” were under 18.

    Overtime was mandatory during busy periods according to Labor Watch. The report also describes dormitory rooms housing up to 12 people, insufficient fire escape routes and fines for behavior such as”failing to tuck in one’s chair after eating” and “absence from unpaid meetings”.

    China Labor Watch says it sent undercover investigators to the three Pegatron factories and conducted nearly 200 worker interviews between March and July this year, AFP reports.

    Pegatron’s chief executive, Jason Cheng, is reported as saying that the company took the allegations “very seriously”.

    “We will investigate them fully and take immediate action to correct any violations to Chinese labour laws and our own code of conduct”, he said.

    Pegatron, a Taiwanese company, came under the spotlight and was pressured to better oversee often-poor manufacturing conditions in China after 13 workers for one of its suppliers committed suicide in 2010.

    Apple stated it had audited Pegatron facilities 15 times since 2007 and found last month that their workweek averaged 46 hours, according to AFP.

    Apple said its audit teams would return to the three factories this week for a series of special inspections.

    Read more at http://www.stockhouse.com/companies/bullboard/aapl/apple-inc#zZ4lH3Rv3jsgDHZK.99