Market Overview

Apple's Win Streak Ends At 13 Years; First iPhone Sales Decline In History Crushes Stock

Apple's Win Streak Ends At 13 Years; First iPhone Sales Decline In History Crushes Stock

After Tuesday's closing bell, Apple Inc. (NASDAQ: AAPL) reported Q2 earnings of $1.90 per share on sales of $50.56 billion. Estimates called for EPS of $2.00 and sales of $51.97 billion. The company sees Q3 sales of $41-$43 billion vs. $47 billion estimates.

This was the first year-over-year sales decline for the tech behemoth since 2003. Shares traded recently at $98.62, down 5.5 percent in the after-hours session.

iPhone sales came out at 51.2 million, about 1 million above estimates but was the first sales decline in the product's history.

iPad sales came out at 10.3 million, while MacBook sales came out at 4 million.

Related Link: Why Apple Could Layoff Between 25,000 And 30,000 Of 115,000 Employees By End Of Year

On Monday, Drexel Hamilton's Brian White said, "As the iPhone 6-Series nears the end of this two-year cycle, we expect some volatility; however, we believe the market is looking forward to the iPhone 7 in September." Looking ahead, White said Apple may issue a "cautious" Q3 outlook given the end of iPhone 6-series cycle and uncertain macro-economic conditions.

The average sell-side price target on Apple sits at around $138. With shares of Apple closing Tuesday's trading session just under $105, that average price target represents potential upside of about 31 percent. Here is a look at what nearly every major Apple analysts rating and price target stand at, as of Monday afternoon.

Posted-In: Apple Apple EarningsEarnings News Guidance After-Hours Center Movers Tech Best of Benzinga


Related Articles (AAPL)

View Comments and Join the Discussion!

BTIG's Mark Palmer Talks Santander Consumer Holdings USA Buyout Rumor Talk

Dan Gilbert, Tom Gores Want To Bring MLS To Detroit