Posts At Eventide's Comments RSS Syndication from SeekingAlpha.com http://seekingalpha.com/user/948027/comments http://seekingalpha.com/article/1462541/comments?source=feed#comment-19404851 19404851
In the short-term I expect Apple to continue its big investment in content delivery infrastructure and to expand the iPhone’s geographic and market reach through additional carrier agreements. I also expect an expansion of the iPhone line as the smartphone market rapidly matures.

The iPad line will undergo a major refresh and Apple will move fairly quickly to adopt Intel’s Haswell chipsets for the Mac line. I expect a major refresh of the Mac Pro line by the end of summer.

I expect a big push into new services including the introduction of a new mobile payment system or the adoption of one of the fledgling systems now coming to market. Apple’s approach will be a bit different in that Apple intends to deliver its customers to the system rather than just enabling a mobile payment process.

I believe Apple will open the Apple TV to iOS developers and accessories/peripherals makers. This includes enable the device as a gaming platform.

Content and content delivery looms large in all of Apple’s product decisions.

Longer-term, wearable devices will be another growth market for Apple along with a continuing initiative to recreate the living room experience.

Apple will continue to provide and create new avenues for revenue generation by content owners and app developers. The iTunes/Software/Services revenue segment will continue to grow quickly and continue to increase the percentage of revenue it delivers to Apple’s top line. ]]> Thu, 30 May 2013 02:39:43 -0400
In the short-term I expect Apple to continue its big investment in content delivery infrastructure and to expand the iPhone’s geographic and market reach through additional carrier agreements. I also expect an expansion of the iPhone line as the smartphone market rapidly matures.

The iPad line will undergo a major refresh and Apple will move fairly quickly to adopt Intel’s Haswell chipsets for the Mac line. I expect a major refresh of the Mac Pro line by the end of summer.

I expect a big push into new services including the introduction of a new mobile payment system or the adoption of one of the fledgling systems now coming to market. Apple’s approach will be a bit different in that Apple intends to deliver its customers to the system rather than just enabling a mobile payment process.

I believe Apple will open the Apple TV to iOS developers and accessories/peripherals makers. This includes enable the device as a gaming platform.

Content and content delivery looms large in all of Apple’s product decisions.

Longer-term, wearable devices will be another growth market for Apple along with a continuing initiative to recreate the living room experience.

Apple will continue to provide and create new avenues for revenue generation by content owners and app developers. The iTunes/Software/Services revenue segment will continue to grow quickly and continue to increase the percentage of revenue it delivers to Apple’s top line. ]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19402721 19402721
Innovation comes in many different forms. Apple has disrupted several product and product distribution markets over the past dozen years and has become a $150+ billion annual revenue enterprise.

The company continues to generate cash at the rate of $1 billion per week and will report over $40 billion in net income even in an unimpressive fiscal year.

Cautious Wall Street analysts expect close to 10% revenue growth this fiscal year and next fiscal year.

What do you believe the analysts are missing? Whether or not Apple invents a new product is irrelevant to the company's growth. ]]> Wed, 29 May 2013 23:55:30 -0400
Innovation comes in many different forms. Apple has disrupted several product and product distribution markets over the past dozen years and has become a $150+ billion annual revenue enterprise.

The company continues to generate cash at the rate of $1 billion per week and will report over $40 billion in net income even in an unimpressive fiscal year.

Cautious Wall Street analysts expect close to 10% revenue growth this fiscal year and next fiscal year.

What do you believe the analysts are missing? Whether or not Apple invents a new product is irrelevant to the company's growth. ]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19354461 19354461
Boeing wasn't the first enterprise to make an airplane and Mercedes wasn't the first enterprise to make a car. But both companies work hard at perfecting and making world-class products.

Apple is an eco-system and has changed forever the means by which people access, acquire and consume music. Apple is now the world's largest music distributor and is among the world's largest distributors of software (apps) through the Apple App Store.

It's not so much that Apple needs to be the first enterprise to make a device. Apple makes a device better and opens the market for other innovators. That's why Apple's iTunes/Software/Services segment would rank in the Fortune 500 on its own and the pace of revenue flow to developers and content providers through the various iTunes stores is quickening by the day. ]]> Tue, 28 May 2013 23:41:40 -0400
Boeing wasn't the first enterprise to make an airplane and Mercedes wasn't the first enterprise to make a car. But both companies work hard at perfecting and making world-class products.

Apple is an eco-system and has changed forever the means by which people access, acquire and consume music. Apple is now the world's largest music distributor and is among the world's largest distributors of software (apps) through the Apple App Store.

It's not so much that Apple needs to be the first enterprise to make a device. Apple makes a device better and opens the market for other innovators. That's why Apple's iTunes/Software/Services segment would rank in the Fortune 500 on its own and the pace of revenue flow to developers and content providers through the various iTunes stores is quickening by the day. ]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19353391 19353391
I expect Apple to reinvent the living room experience and incorporate all the company's iOS and OS X-based products in the solution. Opening the living room to iOS developers and device accessory makers will create its own mini industry. ]]> Tue, 28 May 2013 22:52:18 -0400
I expect Apple to reinvent the living room experience and incorporate all the company's iOS and OS X-based products in the solution. Opening the living room to iOS developers and device accessory makers will create its own mini industry. ]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19353151 19353151
Apple has been active in the build out of tactical data centers and I suspect content delivery capacity is setting the stage for more aggressive carrier and geographic expansion as well as the distribution of more content.


There are definite opportunities for Apple to provide a new content delivery system and content delivery service while cutting monthly service costs for consumers.

Although Apple calls
the current Apple TV a "hobby," I believe there is much more to the story and I expect the story to unfold over the next twelve months. ]]> Tue, 28 May 2013 22:42:25 -0400
Apple has been active in the build out of tactical data centers and I suspect content delivery capacity is setting the stage for more aggressive carrier and geographic expansion as well as the distribution of more content.


There are definite opportunities for Apple to provide a new content delivery system and content delivery service while cutting monthly service costs for consumers.

Although Apple calls
the current Apple TV a "hobby," I believe there is much more to the story and I expect the story to unfold over the next twelve months. ]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19311411 19311411
Thank you for your comment. I plan to continue working with Apple's published financial reports to provide insights and information.]]> Tue, 28 May 2013 03:04:30 -0400
Thank you for your comment. I plan to continue working with Apple's published financial reports to provide insights and information.]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19311171 19311171
I always appreciate your thoughtful and direct comments and questions.

Tim Cook has indeed lowered expectations. But I don’t think his “doubling down” on secrecy works on all fronts. Customers will pay for Apple innovation and customers will sit on their hands in the absence of Apple innovation.

Supply chain mastery is one thing. Going a year between major iPhone and iPad refreshes is a different thing. An established pattern has been set in which customers will wait on the calendar.

Moving forward, there will always be high expectations for Apple. The question is now whether or not Apple will meet expectations. The Street is necessarily cautious and analysts can’t quantify new products they don’t see.

Tim Cook has been given the benefit of the doubt until now. WWDC is his stage to deliver on his statement, “Don’t bet against Apple.” We’ll see what he delivers in about two weeks. ]]> Tue, 28 May 2013 02:28:26 -0400
I always appreciate your thoughtful and direct comments and questions.

Tim Cook has indeed lowered expectations. But I don’t think his “doubling down” on secrecy works on all fronts. Customers will pay for Apple innovation and customers will sit on their hands in the absence of Apple innovation.

Supply chain mastery is one thing. Going a year between major iPhone and iPad refreshes is a different thing. An established pattern has been set in which customers will wait on the calendar.

Moving forward, there will always be high expectations for Apple. The question is now whether or not Apple will meet expectations. The Street is necessarily cautious and analysts can’t quantify new products they don’t see.

Tim Cook has been given the benefit of the doubt until now. WWDC is his stage to deliver on his statement, “Don’t bet against Apple.” We’ll see what he delivers in about two weeks. ]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19311021 19311021
On a revenue basis, Apple is about 25 times larger than Mattel. That’s about as close as the comparison between the two enterprises will get. But you do have a point. Disrupting markets with new and innovative products has been Apple’s pathway to strong rates of revenue and earnings gro
wth for the past twelve years.

Which market will Apple attempt to disrupt next?]]> Tue, 28 May 2013 02:10:10 -0400
On a revenue basis, Apple is about 25 times larger than Mattel. That’s about as close as the comparison between the two enterprises will get. But you do have a point. Disrupting markets with new and innovative products has been Apple’s pathway to strong rates of revenue and earnings gro
wth for the past twelve years.

Which market will Apple attempt to disrupt next?]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19307651 19307651
By this time next year I expect Apple to be looking beyond the iPhone for revenue and earnings growth catalysts. The Mac is currently a $20+ billion product line. The iPhone may settle in as a $100+ billion product line as new devices and new services eventually generate much of the company’s growth.

Following the release of the successor to the iPhone 5 and perhaps a lower-cost iPhone handset, Apple will need new growth drivers. Both the iPhone 4S and the iPhone 5 had peak selling seasons of just over four months.

Carrier expansion and continuing geographic expansion will benefit unit sales growth, but successful entry into new device and services markets is essential for moving revenue to one-quarter trillion dollars per year.]]> Mon, 27 May 2013 22:38:53 -0400
By this time next year I expect Apple to be looking beyond the iPhone for revenue and earnings growth catalysts. The Mac is currently a $20+ billion product line. The iPhone may settle in as a $100+ billion product line as new devices and new services eventually generate much of the company’s growth.

Following the release of the successor to the iPhone 5 and perhaps a lower-cost iPhone handset, Apple will need new growth drivers. Both the iPhone 4S and the iPhone 5 had peak selling seasons of just over four months.

Carrier expansion and continuing geographic expansion will benefit unit sales growth, but successful entry into new device and services markets is essential for moving revenue to one-quarter trillion dollars per year.]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19305841 19305841
I believe Intel has a winner on its hands with the Haswell chipset both from a graphics performance standpoint and a battery performance standpoint. I expect the new chipset to be incorporated quickly into Apple’s Macintosh line.

The global PC market in my view is in a state of irreversible economic decline. HP and Dell have both diversified into services to achieve higher margin revenue. Apple, along with all major PC makers, will be pressured on PC unit sales as consumers and enterprises continue to migrate to ultra mobile devices.

The PC market isn’t going to disappear and Microsoft will remain a large and strong competitor in the enterprise solutions and computing device markets. ]]> Mon, 27 May 2013 21:30:02 -0400
I believe Intel has a winner on its hands with the Haswell chipset both from a graphics performance standpoint and a battery performance standpoint. I expect the new chipset to be incorporated quickly into Apple’s Macintosh line.

The global PC market in my view is in a state of irreversible economic decline. HP and Dell have both diversified into services to achieve higher margin revenue. Apple, along with all major PC makers, will be pressured on PC unit sales as consumers and enterprises continue to migrate to ultra mobile devices.

The PC market isn’t going to disappear and Microsoft will remain a large and strong competitor in the enterprise solutions and computing device markets. ]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19297821 19297821
Apple’s history over the past twelve years has been to grow revenue through new product markets and the development of new customers. Apple’s success is driven by increasing the number of eco-system customers and increasing yield per customer. Expanding the relationship with new and existing customers has been the source of Apple’s growth.]]> Mon, 27 May 2013 15:02:50 -0400
Apple’s history over the past twelve years has been to grow revenue through new product markets and the development of new customers. Apple’s success is driven by increasing the number of eco-system customers and increasing yield per customer. Expanding the relationship with new and existing customers has been the source of Apple’s growth.]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19295191 19295191
A lower-cost iPhone is one element of a much broader product strategy. To reignite net income growth, new products must be a big component of management’s strategy.

I agree Apple has great potential.]]> Mon, 27 May 2013 13:49:48 -0400
A lower-cost iPhone is one element of a much broader product strategy. To reignite net income growth, new products must be a big component of management’s strategy.

I agree Apple has great potential.]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19294451 19294451
Opening the living room to iOS developers would be a big step forward for Apple’s eco-system. Apple is increasing the number of content providers for the current Apple TV and both developers and content providers are essential for success if the company chooses to offer a branded HD TV.

The current Apple TV at $99 is an excellent value proposition for those that choose to eschew the high costs of cable service. The value proposition can be increased dramatically through customer access to iOS apps.]]> Mon, 27 May 2013 13:27:00 -0400
Opening the living room to iOS developers would be a big step forward for Apple’s eco-system. Apple is increasing the number of content providers for the current Apple TV and both developers and content providers are essential for success if the company chooses to offer a branded HD TV.

The current Apple TV at $99 is an excellent value proposition for those that choose to eschew the high costs of cable service. The value proposition can be increased dramatically through customer access to iOS apps.]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19293831 19293831
What is your valuation method for determining Apple is overpriced? The dividend yield is high for a tech stock, the cash position net of debt and liabilities (including off balance sheet liabilities) is high for any publicly traded enterprise and the earnings multiple is low by historical standards.

The company will generate well over $40 billion in net income this fiscal year even with lowered rates of revenue growth and management has committed to the largest share repurchase program in enterprise history. ]]> Mon, 27 May 2013 13:11:37 -0400
What is your valuation method for determining Apple is overpriced? The dividend yield is high for a tech stock, the cash position net of debt and liabilities (including off balance sheet liabilities) is high for any publicly traded enterprise and the earnings multiple is low by historical standards.

The company will generate well over $40 billion in net income this fiscal year even with lowered rates of revenue growth and management has committed to the largest share repurchase program in enterprise history. ]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19290971 19290971
As I stated above, registrations for WWDC sold out in less than two minutes for good reason. Opening new product markets for developers through the release of new products is essential for eco-system growth.

Viewing Apple as an eco-system, the content traffic delivered by the iPad is unmatched by any other handheld device product line and I expect Apple to step up the company’s efforts to reinvent the living room experience and deliver that market to the company’s global developer community.]]> Mon, 27 May 2013 11:55:16 -0400
As I stated above, registrations for WWDC sold out in less than two minutes for good reason. Opening new product markets for developers through the release of new products is essential for eco-system growth.

Viewing Apple as an eco-system, the content traffic delivered by the iPad is unmatched by any other handheld device product line and I expect Apple to step up the company’s efforts to reinvent the living room experience and deliver that market to the company’s global developer community.]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19290591 19290591
Apple has the potential to reach $950 per share. But it will not occur in the next 12 months. Similar to many other analysts that have recently reduced their Apple price targets, I’m looking for Apple’s next earnings growth catalyst. My view is a lower-cost iPhone would boost unit sales, but faster rates of net income growth will only be achieved through new products while addressing the high concentration of customers in the US and Europe. ]]> Mon, 27 May 2013 11:42:21 -0400
Apple has the potential to reach $950 per share. But it will not occur in the next 12 months. Similar to many other analysts that have recently reduced their Apple price targets, I’m looking for Apple’s next earnings growth catalyst. My view is a lower-cost iPhone would boost unit sales, but faster rates of net income growth will only be achieved through new products while addressing the high concentration of customers in the US and Europe. ]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19290451 19290451
A mature market isn’t necessarily marked by negative unit sales growth. It’s often marked a slowing rate of unit sales growth and diminishing margin on each additional unit sold.

Virtually all new cell phones will be smartphones in the coming years. But margin pressure will continue to rise and prices will continue to fall. ]]> Mon, 27 May 2013 11:35:09 -0400
A mature market isn’t necessarily marked by negative unit sales growth. It’s often marked a slowing rate of unit sales growth and diminishing margin on each additional unit sold.

Virtually all new cell phones will be smartphones in the coming years. But margin pressure will continue to rise and prices will continue to fall. ]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19290261 19290261
Registrations for this year’s developer conference sold out in less than two minutes for good reason. While releasing a lower-cost iPhone would increase unit sales particularly in emerging markets, the US and Europe remain Apple’s best markets for increasing revenue flow to developers. This will occur through the release of new products over the next 12 months, not the release of a lower-cost iPhone handset. ]]> Mon, 27 May 2013 11:30:43 -0400
Registrations for this year’s developer conference sold out in less than two minutes for good reason. While releasing a lower-cost iPhone would increase unit sales particularly in emerging markets, the US and Europe remain Apple’s best markets for increasing revenue flow to developers. This will occur through the release of new products over the next 12 months, not the release of a lower-cost iPhone handset. ]]> http://seekingalpha.com/article/1462541/comments?source=feed#comment-19289971 19289971
One of my often mentioned axioms about Apple is:

Apple doesn’t sell products. Apple creates customer relationships and these customer relationships sell Apple products.

If one views Apple primarily as a purveyor of separate and independent digital device lines, any effort to boost unit sales would be the expectation.

If one views Apple as an eco-system, expectations move beyond how many iPhones, iPads or Macs Apple might sell in any particular quarter.

Apple has more than one-half billion iTunes customers with accounts backed by credit cards and the rate of revenue flow to developers is quickening by the month and is rising at a consistent rate.

Yield per customer and expanding the addressable market for developers is as important as increasing the number of units sold of any one particular product in any particular period.

Releasing a lower-cost iPhone for emerging markets or the global market as the smartphone market rapidly matures and releasing new products for the high concentration of Apple customers in the US and Europe are not mutually exclusive outcomes. But releasing a lower-cost iPhone will not deliver net income growth commensurate with the rise in unit sales.

At this time, the US and Europe remain Apple’s best markets for increasing revenue yield per customer and expanding the addressable market for developers through the release of new products.

At my postsateventide.com website I publish a variety of charts and data tables chronicling Apple product unit sales and Apple’s financial results with associated performance metrics. This article provides a current overview of my continuing work tracking Apple’s revenue and operating income performance by region. ]]> Mon, 27 May 2013 11:22:38 -0400
One of my often mentioned axioms about Apple is:

Apple doesn’t sell products. Apple creates customer relationships and these customer relationships sell Apple products.

If one views Apple primarily as a purveyor of separate and independent digital device lines, any effort to boost unit sales would be the expectation.

If one views Apple as an eco-system, expectations move beyond how many iPhones, iPads or Macs Apple might sell in any particular quarter.

Apple has more than one-half billion iTunes customers with accounts backed by credit cards and the rate of revenue flow to developers is quickening by the month and is rising at a consistent rate.

Yield per customer and expanding the addressable market for developers is as important as increasing the number of units sold of any one particular product in any particular period.

Releasing a lower-cost iPhone for emerging markets or the global market as the smartphone market rapidly matures and releasing new products for the high concentration of Apple customers in the US and Europe are not mutually exclusive outcomes. But releasing a lower-cost iPhone will not deliver net income growth commensurate with the rise in unit sales.

At this time, the US and Europe remain Apple’s best markets for increasing revenue yield per customer and expanding the addressable market for developers through the release of new products.

At my postsateventide.com website I publish a variety of charts and data tables chronicling Apple product unit sales and Apple’s financial results with associated performance metrics. This article provides a current overview of my continuing work tracking Apple’s revenue and operating income performance by region. ]]> http://seekingalpha.com/article/1380631/comments?source=feed#comment-18300051 18300051
Thank you for your comment. I will be presenting additional coverage of Apple in a similar content format over the next several months. ]]> Wed, 01 May 2013 00:44:20 -0400
Thank you for your comment. I will be presenting additional coverage of Apple in a similar content format over the next several months. ]]> http://seekingalpha.com/article/1380631/comments?source=feed#comment-18255201 18255201
Thank you for your comments. I will be focusing on Apple's fundamental strengths and current challenges in articles to be published over the next few months. ]]> Tue, 30 Apr 2013 00:32:13 -0400
Thank you for your comments. I will be focusing on Apple's fundamental strengths and current challenges in articles to be published over the next few months. ]]> http://seekingalpha.com/article/1380631/comments?source=feed#comment-18255151 18255151
I expect Apple's next era of strong growth to be sourced from a series of global and regional disruptive steps. Both new devices and new services factor into the mix.

My favorite axiom is:

Apple doesn't sell devices. Apple creates customer relationships and these customer relationships sell Apple's products. ]]> Tue, 30 Apr 2013 00:29:26 -0400
I expect Apple's next era of strong growth to be sourced from a series of global and regional disruptive steps. Both new devices and new services factor into the mix.

My favorite axiom is:

Apple doesn't sell devices. Apple creates customer relationships and these customer relationships sell Apple's products. ]]> http://seekingalpha.com/article/1380631/comments?source=feed#comment-18255051 18255051
Thank you for your comment. Revenue and earnings growth will move the share price higher. Understanding the underpinnings of Apple's next era of success is essential to understanding why the shares will rise in price.

I expect growth to be sourced from a series of disruptive steps to be announced over the next twelve months. Viewing Apple as an eco-system rather than as a device maker provides for a much different long-term valuation model.]]> Tue, 30 Apr 2013 00:24:46 -0400
Thank you for your comment. Revenue and earnings growth will move the share price higher. Understanding the underpinnings of Apple's next era of success is essential to understanding why the shares will rise in price.

I expect growth to be sourced from a series of disruptive steps to be announced over the next twelve months. Viewing Apple as an eco-system rather than as a device maker provides for a much different long-term valuation model.]]> http://seekingalpha.com/article/1380631/comments?source=feed#comment-18254811 18254811
The share repurchase program will no doubt provide support for the share price. Management's decision to announce the repurchase program at this time will move attention away for the recent preoccupation with the company's cash pile and focus more attention on the new products and services the company will unveil over the next twelve months.]]> Tue, 30 Apr 2013 00:13:42 -0400
The share repurchase program will no doubt provide support for the share price. Management's decision to announce the repurchase program at this time will move attention away for the recent preoccupation with the company's cash pile and focus more attention on the new products and services the company will unveil over the next twelve months.]]> http://seekingalpha.com/article/1380631/comments?source=feed#comment-18254761 18254761
Thank you for your comment. There's much more to write over the next few months as Apple positions itself for the company's next era of success. ]]> Tue, 30 Apr 2013 00:10:05 -0400
Thank you for your comment. There's much more to write over the next few months as Apple positions itself for the company's next era of success. ]]> http://seekingalpha.com/article/1380631/comments?source=feed#comment-18254701 18254701
As I stated in the article, Apple is only ending a chapter of a long-term success story. Thank you for your comment. ]]> Tue, 30 Apr 2013 00:07:21 -0400
As I stated in the article, Apple is only ending a chapter of a long-term success story. Thank you for your comment. ]]> http://seekingalpha.com/article/1380631/comments?source=feed#comment-18254661 18254661
It's apparent from my point of view Apple is planning a series of disruptive steps that include new device lines and new services. I see Apple as much more of an eco-system than a maker of digital devices. ]]> Tue, 30 Apr 2013 00:04:48 -0400
It's apparent from my point of view Apple is planning a series of disruptive steps that include new device lines and new services. I see Apple as much more of an eco-system than a maker of digital devices. ]]> http://seekingalpha.com/article/1380631/comments?source=feed#comment-18253721 18253721
Thank you for your comment. In my view Apple is positioning to disrupt multiple global and regional markets over the next eight quarters. From the development and installation of new tactical data centers, new retail distribution partners in emerging markets, rising capex investments and expanding component supply contracts, the next two years may be among the most prolific periods for new products in Apple's history. ]]> Mon, 29 Apr 2013 23:16:55 -0400
Thank you for your comment. In my view Apple is positioning to disrupt multiple global and regional markets over the next eight quarters. From the development and installation of new tactical data centers, new retail distribution partners in emerging markets, rising capex investments and expanding component supply contracts, the next two years may be among the most prolific periods for new products in Apple's history. ]]> http://seekingalpha.com/article/1380631/comments?source=feed#comment-18253571 18253571
The title was taken from the arts but not the work of Mr. Dylan. It's my view financial analysis is both a science and an art form. Many lessons can be taken from the arts and much can be learned from the observation of nature.]]> Mon, 29 Apr 2013 23:04:43 -0400
The title was taken from the arts but not the work of Mr. Dylan. It's my view financial analysis is both a science and an art form. Many lessons can be taken from the arts and much can be learned from the observation of nature.]]> http://seekingalpha.com/article/1380631/comments?source=feed#comment-18253531 18253531
I'll be carefully watching the cost of warranty claims over the next few quarters. It's possible Apple could recapture a portion of the March quarter's $1.551 billion product warranty accruals if actual warranty claims come in lower than expected.

$414 million of the amount accrued is associated with product sales in prior quarters. Cost of warranty claims in the March quarter was $847 million versus $464 million in the prior-year period.

Apple may increase its product warranty accruals going forward, but device sales in prior periods may no longer be a factor. ]]> Mon, 29 Apr 2013 23:01:34 -0400
I'll be carefully watching the cost of warranty claims over the next few quarters. It's possible Apple could recapture a portion of the March quarter's $1.551 billion product warranty accruals if actual warranty claims come in lower than expected.

$414 million of the amount accrued is associated with product sales in prior quarters. Cost of warranty claims in the March quarter was $847 million versus $464 million in the prior-year period.

Apple may increase its product warranty accruals going forward, but device sales in prior periods may no longer be a factor. ]]>