In-depth analysis on Credit Writedowns Pro.

Apple almost gets its whisper number

This is just an update to this morning’s post. As I said this morning:

Based on past performance Business Insider says the Whisper number is about EPS of $12.41 and revenue of $38.51 billion while official estimates are only $10 EPS and revenue of $36.63 billion.

[…]

I believe Apple has become of overriding importance in the narrow US market leadership. If it beats its numbers substantially, it will have a lot of momentum to take it to unheard of levels. On the other hand, a miss will cause a massive selloff. This all means a beat in the range between the Whisper number and the official estimates is the one that will produce the least volatile outcome.

The outcome at 4PM was a profit of $12.30 a share ($11.62 billion), up from $6.40 a share ($5.98 billion) last year. That is just about bang on the whisper number. Revenue increased to $39.19 billion, which was above the Whisper number. I think this tells you that revenue growth is still chugging along at Apple – a very solid quarter in my view. That should be positive for shares, which are already up nearly 7% in after-hours trading.

UPDATE: Also Henry Blodget reminds us that Apple’s iPhone will be a $100 billion business this year. Since it launched 5 years ago, that’s pretty amazing.

About 

Edward Harrison is the founder of Credit Writedowns and a former career diplomat, investment banker and technology executive with over twenty years of business experience. He is also a regular economic and financial commentator on BBC World News, CNBC Television, Business News Network, CBC, Fox Television and RT Television. He speaks six languages and reads another five, skills he uses to provide a more global perspective. Edward holds an MBA in Finance from Columbia University and a BA in Economics from Dartmouth College. Edward also writes a premium financial newsletter. Sign up here for a free trial.