AppleQ3 Earnings Report: Apple may claim that iPhone sales dropped during the April-June quarter because consumers waited for a new model in a weak economy. The corporation must demonstrate how AI boosts growth.
Refinitiv expects the world’s most valuable business to disclose Big Tech earnings on Thursday. They expect a 1.6% drop in quarterly revenue. This would be the worst third-quarter sales loss since 2016.
Visible Alpha questioned 24 experts and determined that iPhone sales dropped over 2%. Sales rose 3% last year and 1.5% in March.
Meta Platforms, Alphabet, and Microsoft have been gaining increasing money from digital advertisements and cloud operations. Thus, their quarterly report may reflect substantial profits.TECHnalysis Research president Bob O’Donnell said Apple is not immune to economic trends and will continue to dominate the smartphone sector.The iPhone 15’s USB-C connector is expected to boost July-September iPhone sales. They expect a mixed quarter.
Apple seldom makes quarterly forecasts, but analysts say it may explain how it’s utilizing AI to improve its goods. The company’s events have yet to employ sophisticated AI buzzwords like Alphabet and Microsoft. Last month, Bloomberg News reported that Apple developed “Ajax” technology for large language models. Wells Fargo thinks Apple’s new AI aspirations will matter. Technological remarks also boost the stock. Apple stocks are up almost 50% this year, while the Nasdaq Composite, mostly tech businesses, is up 37%.
Slower iPhone. Experts expect iPhone sales to drop 6% in the Americas. Apple’s third-largest market, China, is improving, so sales should remain steady. Apple beats Android in China. International Data Corp. reported 2.1% fewer smartphones in China in the second quarter. Piper Sandler analysts said many investors think a weaker China might hurt figures and perceptions. Apple is performing well in China. Therefore, they may not sell fewer iPhones. They suggested India’s sales increase may make up for China’s decline.
Refinitiv predicts a 10.6% Mac sales decline and an 11.2% iPad sales decline. Analysts say that Apple’s App Store and music and video streaming services may benefit from ad sector development. iCloud, 25% of Apple’s revenue, is estimated to climb 5.7% due to pricing increases. However, growth should be similar to the preceding three quarters.