Apple Inc (NASDAQ:AAPL) closed at $100.96 last Friday. Friday was also the day iPhone 6 and 6 Plus were launched in the market within the US. Apple Inc (NASDAQ:AAPL), in terms of stock value, was supposed to soar high after the launch. The stocks weren’t bad either, but they shared a common feature with the figures from September 21st, 2012 – the date when iPhone 5 was released. It’s a matter of great concern for Apple Inc (NASDAQ:AAPL), as the company must have expected its stock exchange figures to be better, if not record-breaking.
Gross margin in 2012 was about 47 percent, which was an all time high, but it started dwindling down after that. Decline in gross margin continued, dropping to 36.9 percent which further cause a dip in Apple’s (NASDAQ:AAPL) shares.
Since then Apple Inc (NASDAQ:AAPL) picked up its pace and started recovering slowly; now it has reached up to 37-38 percent. Assuming that Apple Inc (NASDAQ:AAPL) will make great profits from the sales of iPhone and iWatch, the gross margin might just look better in terms of figures.
iPhone 6 and 6 Plus have become huge hits, giving Apple Inc. (NASDAQ:AAPL) a record number of pre-sales and great walk-in sales. The phone still has not been launched in many countries. China will be a huge factor and center of interest for Apple Inc (NASDAQ:AAPL) because of its amazingly expanding and thriving smartphone market.
Apple (NASDAQ:AAPL) Pay will also be a catalyst in boosting the company’s shares; however it will take at least a few quarters, if not years, to see its impact on the company’s finances.
It still cannot be said with certainty that iWatch will get the market’s attention. The watch is a risky step, because companies that ventured into this territory before Apple Inc (NASDAQ:AAPL) had a very mellow response from the market. However, Apple Inc (NASDAQ:AAPL) has the brand power and reputation to give the smartwatch its proper place in the market, so it can be assumed that things will turn out differently for the tech giant.
Apple Inc (NASDAQ:AAPL) believes that consumers were not ready for a smartwatch before; however things have changed now and the market has become more tech-savvy, which has made the consumers aware of the watch’s potential. The company believes that the iWatch will redefine wearable technology.
There is a slight similarity in the gross revenue for the year 2012 and 2014. In 2012, Apple Inc (NASDAQ:AAPL) generated $35 billion while it was expected to make a billion more; and for the June 2014 quarter, Apple Inc (NASDAQ:AAPL) made $ 37.4, whereas it was expected to make $39.5.
According to analysts these figures are worrisome. Apple Inc (NASDAQ:AAPL) must have expected at least twice the amount they made with their last release. Although it has only been 10 days since iPhone 6 came to the stores, Apple Inc (NASDAQ:AAPL) will surely need some boost from the new Apple Pay and the iWatch to give their stock market position some extra momentum.
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