Market Overview

Pros Talk Apple's Chinese Demand, Product Innovation After Guidance Cut

Share:
Pros Talk Apple's Chinese Demand, Product Innovation After Guidance Cut
Related AAPL
Rosenblatt Cuts iPhone Shipment Estimates On China Weakness
Wells Fargo: Weak Guidance Reignites Fossil Group Bear Case
Buffett Loves These 3 Dividend Stocks And So Should You (Seeking Alpha)

Apple Inc. (NASDAQ: AAPL) hit a new 52-week low of $142.08 Thursday after the company revised its December-ending quarter guidance to the downside. Here's how top technology experts and analysts were reacting to the announcement. 

Zoe Financial CEO: Chinese Consumers Are Different 

One overlooked aspect of the Apple conversation is the different way in which Chinese consumers use their smartphones, Zoe Financial CEO Andres Garcia-Amaya told CNBC Thursday.

A typical Chinese consumer uses very few apps on their smartphone, with the most notable one being WeCha,t which is "used for everything," Garcia-Amaya said. Chinese consumers can easily change from an iPhone to an Android device, and this trend could continue unless Apple starts to offer real innovation, he said. 

Recode's Swisher: Where's The Excitement?

Apple's earnings caution is mostly attributed to China, but Recode's Kara Swisher told CNBC Wednesday that part of Apple's problem is a lack of new and exciting products.

The innovation cycle has "slowed down," and Apple is left with products that are no longer "exciting," with no indication a new hit product is in the pipeline, she said. 

Apple CEO Tim Cook discussed future features with Swisher recently, she said, including augmented reality. But she said it's unclear when those features will be introduced.  

Radio Free Mobile's Windsor: No One Can Challenge Apple

Radio Free Mobile founder Richard Windsor told CNBC that Apple's stock has been steadily declining over the past few months, so a certain element of the company's guidance revision was already priced into shares. Many Street analysts remain bullish on Apple, and Windsor said this could be a result of Apple's dominance in the high-end smartphone market being virtually unchallenged.

Cupertino should be able to maintain its market share, Windsor said, adding that the company will "just sell less phones in a mature and less predictable market." 

Will Buffett Buy The Dip?

Billionaire investor and major Apple shareholder Warren Buffett, CEO of Berkshire Hathaway Inbc. (NYSE: BRK-A) (NYSE: BRK-B), said in a CNBC interview in 2018 he would like to buy Apple's stock at a cheaper price.

Brian Kelly, founder and CEO of BKCM, said during CNBC's "Fast Money" segment Wednesday that Buffett's right-hand man Charlie Munger was upset that Buffett wasn't more aggressive in buying Apple shares. 

Buffett could turn "greedy when others are fearful" near the $136 level, which marked the beginning of Apple's stock breaking out in early 2017, Kelly said.

Related Links:

Warren Buffett Talks Apple, Campbell Soup And Elon Musk

'Jaw-Dropping': Wall Street Reacts To Apple's Guidance Cut, China Business

Photo courtesy of Apple. 

Latest Ratings for AAPL

DateFirmActionFromTo
Jan 2019Bank of AmericaReiteratesNeutralNeutral
Jan 2019CitigroupReiteratesBuyBuy
Jan 2019Morgan StanleyMaintainsOverweightOverweight

View More Analyst Ratings for AAPL
View the Latest Analyst Ratings

Posted-In: Andres Garcia Amaya Apple China CNBC Fast Money Kara SwisherAnalyst Color Analyst Ratings Media Best of Benzinga

 

Related Articles (AAPL + BRK-A)

View Comments and Join the Discussion!

Latest Ratings

StockFirmActionPT
DOBarclaysUpgrades0.0
OIIBarclaysUpgrades0.0
RIGBarclaysUpgrades0.0
CTLRBC CapitalDowngrades0.0
ECLJP MorganDowngrades167.0
View the Latest Analytics Ratings
Don't Miss Out!
Join Our Newsletter
Subscribe to:
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Fintech Focus
Your weekly roundup of hot topics in the exciting world of fintech.
Thank You
for registering for Benzinga’s newsletters and alerts.
• The Daily Analysts Ratings email will be received daily between 7am and 10am.
• The Market in 5 Minutes email will be received daily between 7am and 8am.
• The Fintech Focus email will be received every Friday between 2pm and 5pm.

Legal Betting, LeBron, Kaepernick And Tiger's Comeback: The Year In Sports Business

Americans On The Move: Study Shows Migration Trends In The United States (Infographic)