Goes to show how pundits are often wrong. There are two things that might be cheaper on the iPad Mini than on the iPad - the display and the case. Otherwise, the internals are highly similar. In facg, 1024 x 768 at 7.9" may well be more expensive than 1024 x 768 at 9.7". The difference in cost of the aluminum back is tiny. Therefore, the cost of making iPad Mini may be in fact the same as or higher than iPad 2. But they are forced to sell it at a lower price due to expectations that a smaller tablet should be cheaper.
But couldn't the case be a bit more expensive (at least initially) if its a different manufacturing process? Oppenheimer kept referring to higher manufacturing costs that they're working to bring down.
it isn't made of plastic.
it has a decent, useful for work and stable OS that everyone (consumers, enterprise) sees as the best mobile OS out there.
Huge ecosystem that takes money to keep growing.
Efficient components.
etc.
Compare this to the nexus 7 (that has 0 profit)
I'm not talking about the comparison to competitors tablet products. I'm questioning why, at $329 are the margins significantly lower? I think many assumed the higher price than expected was to keep the high margins. According to Oppenheimer that isn't the case.
I must say that I really don't understand how financial markets tick - AAPL profit goes up in an apparently recessed/depressed economy, so their share price goes down. What would make the market happy - a total economic depression/collapse? What am I missing here?
I must say that I really don't understand how financial markets tick - AAPL profit goes up in an apparently recessed/depressed economy, so their share price goes down. What would make the market happy - a total economic depression/collapse? What am I missing here?
You are missing how much Apple stock price has gone up for the quarter and for the year. Some people are just upset because the stock doesn't go up everyday.
Only thing screwed up was Apple doing business with Samsung.. who do you think those screen delays came from.. you think that's by accident..Don't think so...
Apple is cutting ties with Samsung for a reason.. and delayed displays and parts is the exact reason for it..
Only thing screwed up was Apple doing business with Samsung.. who do you think those screen delays came from.. you think that's by accident..Don't think so...
Apple is cutting ties with Samsung for a reason.. and delayed displays and parts is the exact reason for it..
Assuming Samsung makes money doing business with Apple, the delayed displays and parts would be costing them.
I must say that I really don't understand how financial markets tick - AAPL profit goes up in an apparently recessed/depressed economy, so their share price goes down. What would make the market happy - a total economic depression/collapse? What am I missing here?
You are missing how much Apple stock price has gone up for the quarter and for the year. Some people are just upset because the stock doesn't go up everyday.
My view of such things has up till now been very superficial: it looks as though I need to put some effort into researching and understanding the system!
If you're disappointed with Apple, one can only imagine the let-down you're feeling with Google and MS. Those two turkeys are just abysmal compared to Apple's performance.
If you're disappointed with Apple, one can only imagine the let-down you're feeling with Google and MS. Those two turkeys are just abysmal compared to Apple's performance.
Even stranger then that GOOG's share price is higher than APPL's. I'm off to do some digging .
My view of such things has up till now been very superficial: it looks as though I need to put some effort into researching and understanding the system!
I don't want to sound arrogant, but my recommendation to you is: do NOT try to place rhyme/reason on each major short term move of AAPL stock. Some of us have been following intently on both technical analysis and macro events, but any confidence we've gained is easily used against us. Instead, invest the majority for the long-term and use a bit of play money to ride some of the swells mid-term (as in a handful of trades/year). Trading large blocks in the short term is for pros and/or the pure gamblers. Now is a good time to buy....then ride it (with its ups downs) for at least a year. Good luck.
It does seem that Apple, considering how big it has gotten over the past several years, is no longer immune to the global macro economic conditions that have dogged other companies. The results are still outstanding by any measure, but it does seem that the days of year-over-year 70% revenue and 100%+ earnings growth are over.
Apple's business is now much more complex than it was only a few years ago when you consider the iCloud and other services-oriented initiatives to tie in with growing hardware offerings. Perhaps the tablet market isn't going to grow quite as fast as what everyone has been predicting. Perhaps the later-than-expected rollouts of the new Macs have also affected the top and bottom lines.
Competitive pressures also seem to have affected the margins as well. I don't think we can expect Apple to post net margins of 28~29% again as it did in the 1st and 2nd quarters of fiscal 2012. The guidance for the next quarter also indicates net margin in the 22~23% range, which is still amazingly impressive for a hardware company but not in the surreal realms of nearly 30%.
Growth rate has also slowed noticeably but that's more than understandable in this rotten global economy - especially in Europe and with the slowdown in China. The "haves" around the world will continue to buy new Apple gear over and over again but what about the "have-nots" or just common folks like me who don't really *need* to upgrade every two years when the stuff works just fine?
Things actually do look more challenging for Apple than it has over the past 5 years. Apple is at the top with a big bullseye mark attached to it by every competitor in the world. The competitors were blindsided by the iPhone and the iPad but it's unlikely that such a paradigm-shifting new product will come out anytime soon as the smartphone and tablet products mature over the next several years.
Still, moving forward, Apple remains better positioned than any other tech company out there when you observe the likes of Google, Microsoft, Samsung, HP, Dell, Sony, Nokia, RIM, etc. Apple provides differentiated and tightly integrated products, services and an experience that no one else can even come close to matching. As Tim Cook said, it's the long haul that matters when the competitors are scrambling to keep up, stem the losses, or just outright survive.
[...] The "haves" around the world will continue to buy new Apple gear over and over again but what about the "have-nots" or just common folks like me who don't really *need* to upgrade every two years when the stuff works just fine?
Maybe, just maybe, what the "Pro" creative community have been threatening is actually happening. As Apple increasingly puts the Ive before the horse in an apparent trend to form over function, perhaps others like me have just said, "Screw it, I'm not buying this..."
My standard replacement cycle called for a new MBP this year, but then they axed the 17". I really extra super don't want to go smaller (I'd buy bigger if I could) so now I'm not sure what to do -- wait and hope Apple brings it back or give up OSX and buy Asus? I also really want USB3 on the Mini in the living room so I was going to jump the refresh cycle on that, but they now refuse to provide reasonable graphics or drive options, so again I'm stalled.
That's only two machines (three if you count maybe updating my wife's machine to get AirPlay video mirroring) but if there are enough others like me I suppose it might slow growth.
But couldn't the case be a bit more expensive (at least initially) if its a different manufacturing process? Oppenheimer kept referring to higher manufacturing costs that they're working to bring down.
It does not have to be more expensive than iPad2 to make for the margin to be lower. Assume the manufacturing cost of iPad Mini to be $20 lower and the margin will still be lower than what you get for iPad2, not to mention iPad3/4.
Maybe, just maybe, what the "Pro" creative community have been threatening is actually happening. As Apple increasingly puts the Ive before the horse in an apparent trend to form over function, perhaps others like me have just said, "Screw it, I'm not buying this..."
My standard replacement cycle called for a new MBP this year, but then they axed the 17". I really extra super don't want to go smaller (I'd buy bigger if I could) so now I'm not sure what to do -- wait and hope Apple brings it back or give up OSX and buy Asus? I also really want USB3 on the Mini in the living room so I was going to jump the refresh cycle on that, but they now refuse to provide reasonable graphics or drive options, so again I'm stalled.
That's only two machines (three if you count maybe updating my wife's machine to get AirPlay video mirroring) but if there are enough others like me I suppose it might slow growth.
I'm not a "Pro" by any means. I'm just your average small business and family guy so all the goods that Apple provides now are more than enough. But I can certainly understand the plights of the long-time loyal pro users who feel neglected by Apple. I'm in the musical instruments and equipment industry and work with serious pro musicians and video artists who feel like they're being abandoned in favor of the everyday people just trying to get through the day with their chores.
As a long-time (20+ years) Apple user, fan-observer and very small shareholder, I'd like to think that Apple cares about the cutting-edge technology and products necessary to maintain the "mind share" even if such products don't really add anything significant to their overall business - the Mac Pro being the obvious example and the 17" MBP you bring up. I guess we'll know for sure within the next year if Apple is at all committed to the pro markets on the Mac/PC side of things.
So CNBC just called the numbers "disappointing" -- after beating all but the outlier-est estimates? Sheesh.
How is the stock buyback going with Apple anyway? These hits to the stock seem like opportune times for Apple to bring a few million shares back into the fold.
How is the stock buyback going with Apple anyway? These hits to the stock seem like opportune times for Apple to bring a few million shares back into the fold.
It does seem that Apple, considering how big it has gotten over the past several years, is no longer immune to the global macro economic conditions that have dogged other companies. The results are still outstanding by any measure, but it does seem that the days of year-over-year 70% revenue and 100%+ earnings growth are over.
Apple's business is now much more complex than it was only a few years ago when you consider the iCloud and other services-oriented initiatives to tie in with growing hardware offerings. Perhaps the tablet market isn't going to grow quite as fast as what everyone has been predicting. Perhaps the later-than-expected rollouts of the new Macs have also affected the top and bottom lines.
Competitive pressures also seem to have affected the margins as well. I don't think we can expect Apple to post net margins of 28~29% again as it did in the 1st and 2nd quarters of fiscal 2012. The guidance for the next quarter also indicates net margin in the 22~23% range, which is still amazingly impressive for a hardware company but not in the surreal realms of nearly 30%.
Growth rate has also slowed noticeably but that's more than understandable in this rotten global economy - especially in Europe and with the slowdown in China. The "haves" around the world will continue to buy new Apple gear over and over again but what about the "have-nots" or just common folks like me who don't really *need* to upgrade every two years when the stuff works just fine?
Things actually do look more challenging for Apple than it has over the past 5 years. Apple is at the top with a big bullseye mark attached to it by every competitor in the world. The competitors were blindsided by the iPhone and the iPad but it's unlikely that such a paradigm-shifting new product will come out anytime soon as the smartphone and tablet products mature over the next several years.
Still, moving forward, Apple remains better positioned than any other tech company out there when you observe the likes of Google, Microsoft, Samsung, HP, Dell, Sony, Nokia, RIM, etc. Apple provides differentiated and tightly integrated products, services and an experience that no one else can even come close to matching. As Tim Cook said, it's the long haul that matters when the competitors are scrambling to keep up, stem the losses, or just outright survive.
Nonsense. October is typically a down market month and this one is no exception. Added to this is the fact that we're about to see the president re-elected, which will harm markets further.
Comments
Quote:
Originally Posted by AlexN
I must say that I really don't understand how financial markets tick - AAPL profit goes up in an apparently recessed/depressed economy, so their share price goes down. What would make the market happy - a total economic depression/collapse? What am I missing here?
You are missing how much Apple stock price has gone up for the quarter and for the year. Some people are just upset because the stock doesn't go up everyday.
Apple is cutting ties with Samsung for a reason.. and delayed displays and parts is the exact reason for it..
Quote:
Originally Posted by jecaron
Only thing screwed up was Apple doing business with Samsung.. who do you think those screen delays came from.. you think that's by accident..Don't think so...
Apple is cutting ties with Samsung for a reason.. and delayed displays and parts is the exact reason for it..
Assuming Samsung makes money doing business with Apple, the delayed displays and parts would be costing them.
My view of such things has up till now been very superficial: it looks as though I need to put some effort into researching and understanding the system!
If you're disappointed with Apple, one can only imagine the let-down you're feeling with Google and MS. Those two turkeys are just abysmal compared to Apple's performance.
Even stranger then that GOOG's share price is higher than APPL's. I'm off to do some digging
I told you we would hit sub 600 after Zacky's report
Quote:
Originally Posted by AlexN
Even stranger then that GOOG's share price is higher than APPL's. I'm off to do some digging
You can't compare share prices like that. There's no relevance whatsoever.
Quote:
Originally Posted by AlexN
Even stranger then that GOOG's share price is higher than APPL's. I'm off to do some digging
What are you talking about? GOOG has less than half of the number of shares that apple has.
Quote:
Originally Posted by AlexN
My view of such things has up till now been very superficial: it looks as though I need to put some effort into researching and understanding the system!
I don't want to sound arrogant, but my recommendation to you is: do NOT try to place rhyme/reason on each major short term move of AAPL stock. Some of us have been following intently on both technical analysis and macro events, but any confidence we've gained is easily used against us. Instead, invest the majority for the long-term and use a bit of play money to ride some of the swells mid-term (as in a handful of trades/year). Trading large blocks in the short term is for pros and/or the pure gamblers. Now is a good time to buy....then ride it (with its ups downs) for at least a year. Good luck.
It does seem that Apple, considering how big it has gotten over the past several years, is no longer immune to the global macro economic conditions that have dogged other companies. The results are still outstanding by any measure, but it does seem that the days of year-over-year 70% revenue and 100%+ earnings growth are over.
Apple's business is now much more complex than it was only a few years ago when you consider the iCloud and other services-oriented initiatives to tie in with growing hardware offerings. Perhaps the tablet market isn't going to grow quite as fast as what everyone has been predicting. Perhaps the later-than-expected rollouts of the new Macs have also affected the top and bottom lines.
Competitive pressures also seem to have affected the margins as well. I don't think we can expect Apple to post net margins of 28~29% again as it did in the 1st and 2nd quarters of fiscal 2012. The guidance for the next quarter also indicates net margin in the 22~23% range, which is still amazingly impressive for a hardware company but not in the surreal realms of nearly 30%.
Growth rate has also slowed noticeably but that's more than understandable in this rotten global economy - especially in Europe and with the slowdown in China. The "haves" around the world will continue to buy new Apple gear over and over again but what about the "have-nots" or just common folks like me who don't really *need* to upgrade every two years when the stuff works just fine?
Things actually do look more challenging for Apple than it has over the past 5 years. Apple is at the top with a big bullseye mark attached to it by every competitor in the world. The competitors were blindsided by the iPhone and the iPad but it's unlikely that such a paradigm-shifting new product will come out anytime soon as the smartphone and tablet products mature over the next several years.
Still, moving forward, Apple remains better positioned than any other tech company out there when you observe the likes of Google, Microsoft, Samsung, HP, Dell, Sony, Nokia, RIM, etc. Apple provides differentiated and tightly integrated products, services and an experience that no one else can even come close to matching. As Tim Cook said, it's the long haul that matters when the competitors are scrambling to keep up, stem the losses, or just outright survive.
Quote:
Originally Posted by alexkhan2000
[...] The "haves" around the world will continue to buy new Apple gear over and over again but what about the "have-nots" or just common folks like me who don't really *need* to upgrade every two years when the stuff works just fine?
Maybe, just maybe, what the "Pro" creative community have been threatening is actually happening. As Apple increasingly puts the Ive before the horse in an apparent trend to form over function, perhaps others like me have just said, "Screw it, I'm not buying this..."
My standard replacement cycle called for a new MBP this year, but then they axed the 17". I really extra super don't want to go smaller (I'd buy bigger if I could) so now I'm not sure what to do -- wait and hope Apple brings it back or give up OSX and buy Asus? I also really want USB3 on the Mini in the living room so I was going to jump the refresh cycle on that, but they now refuse to provide reasonable graphics or drive options, so again I'm stalled.
That's only two machines (three if you count maybe updating my wife's machine to get AirPlay video mirroring) but if there are enough others like me I suppose it might slow growth.
Quote:
Originally Posted by Rogifan
But couldn't the case be a bit more expensive (at least initially) if its a different manufacturing process? Oppenheimer kept referring to higher manufacturing costs that they're working to bring down.
It does not have to be more expensive than iPad2 to make for the margin to be lower. Assume the manufacturing cost of iPad Mini to be $20 lower and the margin will still be lower than what you get for iPad2, not to mention iPad3/4.
Quote:
Originally Posted by v5v
Maybe, just maybe, what the "Pro" creative community have been threatening is actually happening. As Apple increasingly puts the Ive before the horse in an apparent trend to form over function, perhaps others like me have just said, "Screw it, I'm not buying this..."
My standard replacement cycle called for a new MBP this year, but then they axed the 17". I really extra super don't want to go smaller (I'd buy bigger if I could) so now I'm not sure what to do -- wait and hope Apple brings it back or give up OSX and buy Asus? I also really want USB3 on the Mini in the living room so I was going to jump the refresh cycle on that, but they now refuse to provide reasonable graphics or drive options, so again I'm stalled.
That's only two machines (three if you count maybe updating my wife's machine to get AirPlay video mirroring) but if there are enough others like me I suppose it might slow growth.
I'm not a "Pro" by any means. I'm just your average small business and family guy so all the goods that Apple provides now are more than enough. But I can certainly understand the plights of the long-time loyal pro users who feel neglected by Apple. I'm in the musical instruments and equipment industry and work with serious pro musicians and video artists who feel like they're being abandoned in favor of the everyday people just trying to get through the day with their chores.
As a long-time (20+ years) Apple user, fan-observer and very small shareholder, I'd like to think that Apple cares about the cutting-edge technology and products necessary to maintain the "mind share" even if such products don't really add anything significant to their overall business - the Mac Pro being the obvious example and the 17" MBP you bring up. I guess we'll know for sure within the next year if Apple is at all committed to the pro markets on the Mac/PC side of things.
Quote:
Originally Posted by John Nugent
So CNBC just called the numbers "disappointing" -- after beating all but the outlier-est estimates? Sheesh.
How is the stock buyback going with Apple anyway? These hits to the stock seem like opportune times for Apple to bring a few million shares back into the fold.
Quote:
Originally Posted by SpamSandwich
How is the stock buyback going with Apple anyway? These hits to the stock seem like opportune times for Apple to bring a few million shares back into the fold.
#next_pages_container { width: 5px; hight: 5px; position: absolute; top: -100px; left: -100px; z-index: 2147483647 !important; }#next_pages_container { width: 5px; hight: 5px; position: absolute; top: -100px; left: -100px; z-index: 2147483647 !important; }
They mentioned a buyback on the conference call.
#next_pages_container { width: 5px; hight: 5px; position: absolute; top: -100px; left: -100px; z-index: 2147483647 !important; }
Quote:
Originally Posted by alexkhan2000
It does seem that Apple, considering how big it has gotten over the past several years, is no longer immune to the global macro economic conditions that have dogged other companies. The results are still outstanding by any measure, but it does seem that the days of year-over-year 70% revenue and 100%+ earnings growth are over.
Apple's business is now much more complex than it was only a few years ago when you consider the iCloud and other services-oriented initiatives to tie in with growing hardware offerings. Perhaps the tablet market isn't going to grow quite as fast as what everyone has been predicting. Perhaps the later-than-expected rollouts of the new Macs have also affected the top and bottom lines.
Competitive pressures also seem to have affected the margins as well. I don't think we can expect Apple to post net margins of 28~29% again as it did in the 1st and 2nd quarters of fiscal 2012. The guidance for the next quarter also indicates net margin in the 22~23% range, which is still amazingly impressive for a hardware company but not in the surreal realms of nearly 30%.
Growth rate has also slowed noticeably but that's more than understandable in this rotten global economy - especially in Europe and with the slowdown in China. The "haves" around the world will continue to buy new Apple gear over and over again but what about the "have-nots" or just common folks like me who don't really *need* to upgrade every two years when the stuff works just fine?
Things actually do look more challenging for Apple than it has over the past 5 years. Apple is at the top with a big bullseye mark attached to it by every competitor in the world. The competitors were blindsided by the iPhone and the iPad but it's unlikely that such a paradigm-shifting new product will come out anytime soon as the smartphone and tablet products mature over the next several years.
Still, moving forward, Apple remains better positioned than any other tech company out there when you observe the likes of Google, Microsoft, Samsung, HP, Dell, Sony, Nokia, RIM, etc. Apple provides differentiated and tightly integrated products, services and an experience that no one else can even come close to matching. As Tim Cook said, it's the long haul that matters when the competitors are scrambling to keep up, stem the losses, or just outright survive.
Nonsense. October is typically a down market month and this one is no exception. Added to this is the fact that we're about to see the president re-elected, which will harm markets further.