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Apple Q1 Earnings: What Should Excited Investors Expect?

The world’s most valuable company is no doubt feeling the impact of the microchip shortage so will this affect its upcoming earnings report?

Apple (NASDAQ: AAPL) became the first publicly traded company in the world to hit a $3 trillion valuation at the start of the year and announced its next earnings date the following day. It will be interesting to see if the company continues to set new revenue records considering the global microchip famine, supply chain issues, and pandemic-related work disruptions. Also of note is the holiday season (covered by the upcoming report) and its effect on the company’s sales. 

Additionally, Apple released new models of its iPhone, iPad, AirPods, & MacBook and although it stopped reporting on product sales specifically, investors will still get a revenue breakdown by product category.

When is Apple’s earnings date?

Apple reports earnings for the first quarter of 2022 on Thursday, January 27th at 5:00 pm Eastern Time.

How can I listen to Apple’s earnings call?

To listen to the call and to access the transcript, as well as the shareholder’s letter and the financial statements for the quarter, all you need to do is go to Apple’s Investor Relations Page. The full report will be made available 30 minutes before the call.

What to expect from Apple’s earnings

Apple again declined to offer guidance for its earnings so as not to mislead investors during these times of instability. Wall Street expects earnings per share (EPS) of $1.89 on revenue of roughly $118 billion. Year-over-year (YoY), this represents a 12.5% increase in EPS and a 6% gain in revenue; however, if this is the number Apple hits, it will set an all-time company high. 

The semiconductor shortage has cost Apple billions of dollars in the recent past so investors will be interested in learning how the company plans to continue to combat this issue as well as other pandemic-related troubles. The holidays have always been the most prosperous time for the company so Wall Street will be keen to learn just how successful Apple was this time around. Perhaps the company will finally offer guidance for upcoming quarters and the entire year as well.

In its last quarterly statement, Apple hit a homerun with record sales across all product lines and services. With the one-two punch of launching the 5G-compatible iPhone 13, the company’s most successful product, and the holiday season, the company is sure to wow in this particular category. In the back of every investor’s mind however, is the Apple Car, codenamed ‘Project Titan.’ Perhaps there will be mention of it on the call.

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