Apple, Inc. (NASDAQ: AAPL) reported strong third-quarter results this Thursday, and the board of directors declared a $0.23/quarterly share dividend.
Apple showed the ability to grow its sales even during a time of uncertainty for the U.S. economy and reported that it sees continued strength in demand for iPhone.
Apple sees continued strength in demand for iPhone
Apple reported strong third-quarter results on Thursday; total revenue has increased by 1.9% Y/Y to $82.96 billion, while the GAAP earnings per share were $1.20 ( beats by $0.05).
Third-quarter results beat expectations; revenue attributed to the iPhone was $40.65 billion, while the company’s Services revenue rose to $19.6 billion.
Sales attributed to the iPad, Mac and Wearables and Accessories came in at $7.22 billion, $7.38 billion, and $8.08 billion. Apple demonstrated once again the ability that even in these tougher times, the company can achieve excellent results. Tim Cook, CEO of Apple, said:
We set June quarter records in the Americas, in Europe, and in the rest of Asia Pacific region. We also saw June quarter revenue records in both developed and emerging markets with very strong double-digit growth in Brazil, Indonesia and Vietnam and a near doubling of revenue in India.
The board of directors declared a $0.23/quarterly share dividend (in line with the previous) which will be payable on August 11 to stockholders of record as of August 08, 2022.
Apple reported that it sees continued strength in demand for iPhone and Chief Executive Tim Cook confirmed that Apple remains in a strong position to improve its already massive market presence in the months ahead.
Apple didn’t give exact earnings or revenue estimates for the next fiscal quarter, but CFO Luca Maestri said that he expects gross margins for the fourth quarter to be between 41.5% and 42.5% on sales that are seen as growing from a year ago.
Analyst firms remain positive on Apple after the third-quarter report; Deutsche Bank maintained a “buy “rating with a $175 price target, while Evercore ISI analyst Amit Daryanani boosted his price target to $185.
Wedbush Securities analyst Dan Ives said that Apple has the ability to navigate a supply chain shortage in an impressive performance and maintained his outperform rating and $200 price target on Apple’s stock.
Technical analysis
Apple shares have advanced slightly above 19% since the beginning of July 2022, and the current price stands at $162.51.
Data source: tradingview.com
If the price jumps above $165, it will signal to trade Apple shares, and the next target could be $170.
On the other side, if the price falls below the strong support that stands at $150, it would be a “sell” signal, and we have the open way to $130.
Summary
Apple reported strong third-quarter results on Thursday and reported that it sees continued strength in demand for iPhone. Analyst firms remain positive on Apple after the third-quarter report; Deutsche Bank maintained a “buy “rating with a $175 price target, while Evercore ISI analyst Amit Daryanani boosted his price target to $185.
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