How can revenue estimates go up by $8 million dollars, but EPS goes down?
Consensus estimates have Apple's revenues up about $8 billion to $54 billion (from $46 billion) but EPS down 4% at $13.45 with margins at around 38.5%. How can operating expenses increase by $8 million? This would indicate the operating profit increase by the same amount of the increased net sales? At a minimum, this additional $8 billion should account for an increase of $.50 per share and likely $1.00 more since these revenues are coming from iPhones with gross margins around 65%.
Can't wait til January 23rd cause these numbers are driving me crazy