Apple Inc.’s (NASDAQ:AAPL) most recent earnings report did not impress investors on Monday and prompted a fall in prices that leveled off toward the end of the week’s trading on Friday. A report by Reuters summed up the “disappointed” mood of Apple shareholders, but at least one interested party was left wondering why the fuss occurred at all. According to Apple Insider, a wrinkle in Apple’s accounting practices has given the tech giant $10 billion in deferred revenue that requires no further investment by the company.
In other words, that $10 billion could just as easily be viewed as profit. Apple Insider picked up the case in 2007, when Apple began a practice of accounting that did not consider revenues in hand until the end of subscriptions — Apple Care, gift cards, and the like — while considering a portion of newly sold iPhones and iPads incomplete until their software updates had been delivered over the course of two years.
As a result, Apple is holding onto a staggeringly large stockpile of cash for which it must do little in the way of obligations to book. Revenue came in higher as part of the latest earnings report, yet many were discouraged by the earnings per share miss. Considering the amount of cash being labeled as deferred income, there is reason to believe the majority of investors are ignoring the reality behind the company, according to Apple Insider.
and was very underrated under Jobs. Ive has many great ideas on the bench, many of which we will see soon. Read Ive's new bio.
It's amazing all these arm chair quarterbacks who think they're smarter than Apple Management. If you guys are so brilliant, what are you doing here? How come you arn't the CEO? or a CEO? If you have all the answers why don't you go work for Apple or someone.......
At least your daughter's name isn't 'Bush' racking up 1.5 Trillion in Iraq. Being a 'Republican' you probably taught your daughter very well how to stupidly spend money she doesn't have.
What great products does Microsoft make again? Windows? That's why I own a Mac Book. What good new products or software has Microsoft built over the last 10 years? 0
The iPad Air is already off to a better start than its predecessor.
Hitting stores last Friday, the latest-generation iPad saw five times the adoption level of the iPad 4 during its initial weekend, mobile analytics firm Fiksu said on Sunday. The Air's adoption rate is also three times that of the first iPad Mini.
And taking it one step further, the Air's adoption rate is twice as high as that of last year's iPad 4 and iPad Mini combined.
As of Sunday night, the Air accounted for 0.75 percent of all iPads seen by Fiksu. In contrast, the iPad 4 accounted for 0.37 percent of all iPads at the end of its launch weekend, and the iPad Mini for 0.35 percent.
Among all iPads adopted by consumers as of Monday morning, the iPad 2 is currently tops at 37.1 percent, according to Fiksu. The iPad 4 is in second place at 22.5 percent, followed by the iPad Mini at 20.8 percent, the iPad 3 at 18.5 percent, the Air at 0.8 percent, and the original iPad at 0.4 percent.
The iPad Mini 2 has yet to hit the charts as it's not due to reach consumers until later this month.
Fiksu derives its data by sampling the millions of iPads using its client mobile app and updating that information each hour.
Says the guy from the country that almost destroyed the world economy in 2008.......
Ya almost as mad as going into Iraq with no proof of anything and costing Americans a Trillion dollars.....
Investors should tune out chatter about China Mobile (CHL) selling Apple's (AAPL) iPhone in 2013, says BMO Capital Markets.
"For the stock, we think the less we hear about China Mobile through calendar year-end the better, since we think this supports our idea that the iPhone's impact will be more in the first half (of) calendar year 2014," analyst Keith Bachman wrote in a research report Monday.
In Apple's current quarter, Bachman forecasts better-than-expected demand for new iPads, "especially the iPad Air."
T-Mobile USA (TMUS) has been marketing the iPad Air aggressively as part of its "Uncarrier" marketing push into the tablet market, as IBD has reported.
Speculation about an Apple-China Mobile deal has raged for years. China's No.1 wireless carrier has never inked a deal to sell the iPhone and offer service for that device, in part slowed by technical hurdles. But the two companies reportedly have been getting closer and closer to a deal.
In August, China Mobile reported "ongoing talks" with Apple. Wedge Partners recently speculated about a China Mobile iPhone launch in November.
China Mobile had 740.2 million wireless subscribers as of June 30, the most of any carrier in the world. Its rivals China Unicom (CHU) and China Telecom (CHA) do sell the iPhone.
BMO Capital's Bachman says China Mobile 4G LTE build-out is key to iPhone demand. Reuters recently reported that China Mobile's website has been readied for a 4G launch.
"The number of LTE base stations at China Mobile is low at present," Bachman wrote, which he says indicates an iPhone impact on China Mobile in the first half of 2014, not this year. And his estimates of China Mobile iPhone sales are lower than other numbers that have been floated by analysts.
"Given Apple's high price point relative to the Chinese market, our concern about the quality of China Mobile's TD-LTE network, China Mobile's reliance on more of its Wi-Fi than cellular network, and the success of lower-end Android phones in China,
Sentiment: Strong Buy
They said that about Steve Jobs when they fired him as CEO....
That's 'cause you're good entertainment. If you really wanted to help people here you'd reveal how you come to your trading decisions. I've never traded on your posts. Too suspect......