Apple: Earnings Could Deliver A Big Upset As International Business Tumbles

Bluesea Research
8.43K Followers
(12min)

Summary

  • Apple faces significant challenges, including tariffs, regulatory headwinds in Europe, and declining sales in China, impacting margins and overall revenue.
  • Apple Intelligence has failed to meet expectations, leading to lawsuits and damaging the brand image, further delaying customer upgrades.
  • Despite heavy investment, Apple's TV+ service continues to lose money, and the company struggles to compete with established streaming giants.
  • Apple is trading at 22 times the EPS estimate for 2 fiscal years ahead compared with only 18 times for Amazon and 15 times for Meta despite slower EPS growth.

Apple Store at 5th Ave in Manhattan, New York City

ozgurdonmaz

Apple (AAPL) stock has seen a correction of over 20% since YTD. The company faces numerous challenges within its operations as well as macro headwinds of tariffs and regulations. Apple’s supply chain will face significant issues if the tariffs

This article was written by

8.43K Followers
I have worked in the technology sector for over 4 years. This included working with industry stalwarts like IBM. I have done my MBA in finance and have been covering various blue chip stocks for the past 6 years. Having hands-on knowledge in the technology sector has helped me gain valuable insights into the ups and downs of this sector and predict winners and losers more accurately.

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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