APPLE (
AAPL) – Q1 FY25 EARNINGS & WHAT’S NEXT
(1/8)
Revenue: 124.3B (+4% YoY) – A new all-time record! Services soared +14% to 26.3B, offsetting a slight dip in iPhone sales. Let’s see how Apple’s holding up.
(2/8) – EARNINGS BEAT
• EPS: $2.40 (beat by $0.06)
• Gross margin: 46.9%, topping estimates
• Despite China sales dropping 11% to 18.51B, Apple still racked up big gains elsewhere
(3/8) – SECTOR SNAPSHOT
• Market cap 3.5T+, P/E ~30
• Some call it pricey vs. tech peers, but brand strength + services + potential AI expansions = possible undervaluation 🤔
• Compares favorably to Microsoft, Samsung, etc., given stable product + services synergy
(4/8) – RISKS TO WATCH
• Geopolitical: China manufacturing & sales reliance → Trade tensions? Tariffs?
• Innovation Pace: Competitors could leapfrog Apple in AI or other emerging tech
• Regulatory: Antitrust cases (App Store) could pinch profitability ️
• Economy: Premium pricing in downturn—brand loyalty helps, but can’t ignore recession effects
(5/8) – SWOT HIGHLIGHTS
Strengths:
Legendary brand loyalty & huge install base
Growing services revenue (+14%!)
Massive cash reserves for R&D & buybacks
Weaknesses:
Heavy dependence on iPhone sales
China manufacturing concentration
Opportunities:
AI, AR/VR expansions (Vision Pro, maybe more)
Emerging markets → untapped smartphone penetration
Services sector continuing to expand
Threats:
Fierce competition (especially in China) 🦖
Trade tensions & supply chain hiccups
Shifts in consumer tech tastes or new disruptors
(6/8) – CHINA SALES DENT
• China down 11%—that’s a chunk given its importance
• Local giants (Xiaomi, Huawei) are snapping at Apple’s heels 🦾
• Will Vision Pro + AI upgrades woo Chinese consumers back? 🤔
(7/8) – Is Apple undervalued at a 3.5T market cap & P/E of 30?
1️⃣ Bullish—Brand power + AI = unstoppable
2️⃣ Neutral—Solid, but watch those China risks
3️⃣ Bearish—Too expensive, competition’s rising
Vote below! ️