Jump to content

Apple share price: Q1 2022 earnings preview


MongiIG

Recommended Posts

Apple share price: Q1 2022 earnings preview

Apple Q1 earnings to benefit from iPhone 13 and Mac sales.

BG_APPLE_logo.jpgSource: Bloomberg
 Shaun Murison | Senior Market Analyst, Johannesburg | Publication date: Monday 24 January 2022 

When are the Apple results?

Apple Inc., the world’s largest company by market capitalisation, is set to report first quarter (Q1) 2022 earnings on the 27th of January 2022.

What ‘the Street’ expects from Apple Q1 2022 results

Since the pandemic’s disruption to supply chains and, in turn, the uncertainty pertaining to future earnings, Apple Inc. stopped issuing forward guidance for its quarterly results.

Q1 has historically been the strongest quarter of the year for Apple as it reports on the three months ending December, benefitting from pent-up holiday demand most notably for the latest installment of its iPhone.

iPhone sales led by the iPhone 13 could account for more than 60% of group revenue in the reporting period. High single digit to low double digit growth is expected from Mac sales. Wearables are expected to deliver mid-single digit sales growth while service revenue is likely to see only marginal growth if any.

A consensus of estimates from Refinitiv data for the upcoming Q4 2021 Apple results arrive at the following:

• Revenue for the quarter of $118.547 billion (+6.38% year on year)

• Earnings per share (EPS) for the quarter of $1.89 (+12.37% year on year)

How to trade Apple results

In terms of an institutional view as of the 21st of January 2022, a Refinitiv poll of 43 analysts has an average rating of ‘buy’ for Apple, with a long-term price target (mean) of $180.84.

AAPL%20refinitiv%202401.pngSource: Refinitiv

 

In terms of a retail trading view, as of the 21st of January 2022, IG Client Sentiment data shows 86% of IG clients with open positions expect the price to rise in the short-term, while 14% expect the price to fall in the near term.

AAPL%20client%20s%202401.pngSource: IG
APPL%202401.pngSource: IG charts

 

The share price of Apple continues to correct in the short-term along with the company’s tech sector peers. The correction follows the stock trading in overbought territory and was pre-warned by the head and shoulders chart pattern (shaded). The long-term uptrend for Apple does however remain firmly intact.

Traders respecting the longer term uptrend will be looking for signs that the correction has ended before looking for long entry. The 156.60 level finds a confluence of both trendline and horizontal support and provides the next downside target should the correction persist.

For long entry we are looking for a sharp bullish price reversal before this level, accompanied by a move out of oversold territory from the stochastic oscillator.

Summary

• Q1 2022 results are scheduled for the 27th of January 2022

• Revenue for the quarter of $118.547bn expected

• Earnings per share for the quarter of $1.89 expected

• The average long-term broker rating consensus for Apple is ‘buy’

• 86% of IG clients with open positions on Apple expect the price to rise in the near term

• The long-term trend for Apple remains up, although in the short-term we are seeing a correction from near term highs

Link to comment

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
  • General Statistics

    • Total Topics
      23,641
    • Total Posts
      97,063
    • Total Members
      44,200
    • Most Online
      7,522
      10/06/21 10:53

    Newest Member
    Gaganpreet
    Joined 07/12/23 01:42
  • Posts

    • Elliott Wave Analysis TradingLounge Daily Chart, 7 December 23, Binance/ U.S. dollar(BNBUSD) BNBUSD Elliott Wave Technical Analysis Function: Counter Trend Mode: Corrective Structure: Flat Position: Wave C Direction Next higher Degrees: wave (2) of Impulse Wave Cancel invalid level: Details: wave (2) may end at 224.0 and the price increase again in wave (3) Binance/ U.S. dollar(BNBUSD)Trading Strategy : Binance's recovery has been good, with five waves rising from the 202.8 level, giving us an overall bullish outlook. The correction is likely to end at the level of 222.6 and the price is entering another uptrend in wave 3. Binance/ U.S. dollar(BNBUSD)Technical Indicators: The price is below the MA200 indicating a Downtrend, Wave Oscillators a Bullish Momentum. TradingLounge Analyst: Kittiampon Somboonsod, CEWA Source : Tradinglounge.com get trial here!         Elliott Wave Analysis TradingLounge 4H Chart, 7 December 23, Binance/ U.S. dollar(BNBUSD) BNBUSD Elliott Wave Technical Analysis Function: Counter Trend Mode: Corrective Structure: Flat Position: Wave C Direction Next higher Degrees: wave (2) of Impulse Wave Cancel invalid level: Details: wave (2) may end at 224.0 and the price increase again in wave (3) Binance/ U.S. dollar(BNBUSD)Trading Strategy : Binance's recovery has been good, with five waves rising from the 202.8 level, giving us an overall bullish outlook. The correction is likely to end at the level of 222.6 and the price is entering another uptrend in wave 3. Binance/ U.S. dollar(BNBUSD)Technical Indicators: The price is below the MA200 indicating a Downtrend, Wave Oscillators a Bullish Momentum.    
    • In this buoyant market with Bitcoin hitting $42,000 and Ethereum reaching $2,200, there's a risk of getting swept up in the excitement fueled by wealth screenshots shared online. However, after impulsive investments, many realize they might still be at a loss, far from outperforming Bitcoin or Ethereum. Here are key takeaways to survive a bull market gleaned from over six years of experience: 01 Few Profits in a Bull Market A bull market implies rising cryptocurrency prices, driven by an optimistic outlook. Yet, making profits is not for everyone. Regardless of positive news or technology, price surges happen when buying outpaces selling. Bull markets inflate numbers but only a few benefit. 02 Preventing Bull Market Missteps In this evolving industry, new narratives emerge with each market rally, driving interest. To navigate: - New Narratives: Expect new storylines; innovation typically starts on-chain. Current trends hint at Bitcoin's ecosystem and various emerging concepts. - Consensus and Open-mindedness: Consensus drives interest. Keeping an open mind is crucial to understand new narratives. - Identifying Leaders: Market cap often defines leadership, but sectors may lack clear leaders or witness transitions. - Top Institutional Trends: Monitoring top institutions' moves is crucial, although they might influence the market significantly. 03 Pitfalls to Avoid Despite market surges, human impulses persist. Here are key pitfalls: - Leveraged Contracts: Playing these is risky; initial success may lead to overconfidence, resulting in significant losses. - All-In Attitude: Don't exhaust your capital; respect the market and learn from past market crashes. - Frequent Trading: Emotional trading often results in losses; patience is vital. - Following Trends Blindly: Avoid blindly following trends; understanding the project you're investing in is crucial. .Surviving a bull market isn't about picking money off the ground; it's about staying steady and avoiding pitfalls in an enticing yet volatile landscape.
    • Name of stock - Aura Minerals Name of Stock Exchange - Canada Leverage or Share dealing - Leverage Ticker - ORA Country of the stock - Canada Market Cap - 750M
×
×
  • Create New...
us