Tag Archives: iPhone

iPhone is now 10 years old and on January 9, 2007 Steve Jobs unveiled a product that changed the world

iPhone is now 10 years old. On January 9, 2007 Steve Jobs unveiled a product that changed the world. A few months later, on June 29, 2007 iPhone made its way into stores. Apple have changed dramatically since then.

Since the first generation iPhone first began selling on June 29, 2007, Apples market Cap has grown from $104,3 Billion to $760 Billion. Growing from the 26<sup>th</sup> largest company on the S&amp;P 500 to the 1<sup>st</sup>. Shares of Apple have soared 744% since the iPhones debut.

 

 

Apple has sold just over 1,2 Billion iPhones in the last 10 years.

Earlier this week the European Commission fined Google a $2,7 Billion, claiming it denied other companies the chance to compete on the merits and to innovate. They also claimed that Google denied European consumers a genuine choice of services and the full benefit of innovation.

What Europe should do is stop complaining and start to innovate. If there was a better search engine out there they will have competed with Google. The same can be said about the smart phone market too.

I acquired my first mobile phone in 1992 and it was a Ericsson which is a multinational networking and telecommunications equipment and services company headquartered in Stockholm, Sweden.

The company had a 35% market share in the 2G/3G/4G mobile network infrastructure market in 2012. They were ruling the smart phone market in the early 90`s, but something happened.

Nokia from Finland came into the market and ruled the world with their new smart phones from 1998 to 2012. That`s 14 years on top. Not bad for a company founded by Knut Fredrik Idestam in 1865.

Keep in mind that both are European companies, but something happened.

Steve Jobs changed the world 10 years ago, on June 29, 2007. He launched Apple`s iPhone which is celebrating a 10 year anniversary. In 2007, iPhone 2G were launched with a 16GB storage and 8-hour battery.

Ten years later, iPhone 7 Plus were launched with a 256GB storage and 21-hours battery. Microsoft CEO Steve Balmer said on April 29, 2007, that “There`s no chance that the iPhone is going to get any significant market share. No Chance.”

For how long will Apple continue to stay on top?

 

 

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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Google will earn billions on Pokèmon`s success

Google is expected to report earnings on Thursday 28, 2016, after market close. The report will be for the fiscal Quarter ending Jun 2016. The Google stock has skyrocketed since June this year, and this company never stop to impress.

google-pokemon

A couple of days ago we saw Apple go straight up after their earnings report. It is forecasted that Apple could see $3 billion in revenue over the next one to two years generated exclusively by Pokèmon Go.

So is it for Google.

The success of Pokèmon seems to give a huge bonus for both Apple and Google. Google Play are the base for any successful games running on Google`s platform, and so is it for the App Store at Apple.

The huge difference between Apple and Google are their system like iPhone and Android, but the amount of money consumers are spending on both platforms will benefit them both.

Nintendo jumped from 15,000 (TYO: 7974) in June to 32,000 on 19 July this year on their success Pokèmon Go. But it peaked at about 32,000. It plunged 14% yesterday on bad results. Earnings of $0,65 per share from a year ago plunge to a net loss of $1,93 per share.

Nintendo`s Wii U system also fell over 50% YoY. This is why Nintendo is going down and Google up.

Keep in mind that Nintendo is not the producer of the Pokèmon go app. Nor do they sell it.

The Pokèmon Company is a joint venture between Nintendo and two other Japanese companies, and they receives license fees from Pokèmon Go`s in-game purchases. Most of all these fees goes to former Google subsidiary Niantic Labs.

It`s funny when games like this has huge success. They will all profit from it, but for how long will the trend continue? Once it is over, it will drop like a stone.

We all know the story of fresh games like Mario, Zelda and Donkey Kong, and we also know that this is not the end of the gaming era. Nintendo are about to finish its next-generation video games console, code-named Nintendo NX.

Maybe Google will profit from that to.

EPS forecast for the quarter is 6,47 compared to $4,93 at the same time last year.

 

asphalt

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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Is Apple falling down from the tree?

I had two American favorite stocks in 2005. Google was one of them. Apple is the other one. As you may know, it has been ten great years while Apple went to be the biggest company in the world. Now, it is the darling of Wall Street. How long will that continue?

Apple will report FQ1 2016 earnings Tuesday January 26th, after the bell and it is a critical moment for Apple right now. The coming report will be highly scrutinized by investors because they are concerned about Apple`s iPhone sale.

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When I launched Apple in my portfolio in 2005, they didnt have iPhone at all. Since then the sale of iPhone has skyrocketed. But what now? There are signs that iPhone sales is slowing. We can see that many of Apples suppliers are declining and so are Apple`s orders.

Apple is also attacked by Qualcomms new weapon. Apples A10 chip for Iphone 7 will be built on TSMC`s 16-nanometer FinFET Plus technology, but it seems like Android devices will be built on more advanced 10-nanometer technology.

Qualcomm`s next-generation Snapdragon 830 processor (the successor to the Snapdragon 820 that is slated to appear in devices over the next couple of months) is planned to be launched in the beginning of 2017.

Its not only Apples suppliers that is concerning Apple`s investors. China is a big market for Apple and a slowdown in Asia in addition to a slowdown globally can hit the company hard. Not only that. It is estimated that the global demand for smartphones will decline and fall below 10%, and so will the iPhone sales. In other words it seems like we has reached a top.

But thats for iPhone. Apple has more than iPhone. Despite the fact that iPhone is Apples biggest money-maker, they also have Apple Watch, Apple TV and Apple Music in the same lineup. They are all new in Apples portfolio and Im most exited about Apple Watch, because I think it will be hard to replace iPhone with Apple Watch.

Apple`s revenue from smart phone was 66% in 2015 and their sales jumped 28% in its latest fiscal year. Apple Watch is a new product so it is expected to see that sale to increase. The price for Apple in 2005 was only $5. Now it is $100! Experts expect it will rise 40% in 12 months.

The stock is down about 30% since the top last year, with an EPS of 9,20. Market Cap is 556,72B with an P/E of 10,92. Estimize consensus calls for FQ1 EPS of $3,27 and revenue of $77,138 Billion, which is slightly higher than corporate guidance and Wall Street`s estimates.

Apple is still a profitable company and a popular brand among the younger generation, and with $200 billion in cash and manageable debt obligations, Apple will still be a popular brand.

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Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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Apple`s profit and margins slid

Last year, Apple`s earning rose 61% in september 2012, but fell this year for the first time in at least a decade. On a conference call yesterday Mr. Tim Cook said that fourth-quarter profits slipped roughly 8.5%. Earnings: 7,5 billion in Q3, per diluted share, 2013 (8,2 billion in Q3 2012). EPS:$8,26 in Q3, 2013 ($8,67 in Q3, 2012). Revenue is $37,5 billion. Gross margin came in at 37 percent compared to 40 percent in the year-ago quarter.

Right after the results was released, the stock fell as much as 5,1%. After the closing bell, Apple was trading at $529,88. It is down about 25% since the top in September 2012 following the debut of the Iphone 5. Apple is not a growth company anymore. I hope the holiday season can change that.

Apple sold 33.8 million iPhones, (record for the September quarter), compared to 26.9 million in the year-ago quarter. They sold 14.1 million iPads during the quarter, compared to 14 million in the year-ago quarter. Mac sales came in at 4.6 million, down slight from 4.9 million in the year-ago quarter.

Mr. Tim Cook reported its best quarter in education ever, generating over $1 billion in revenue on sales of iOS and Mac products, including iPads, which took a staggering 94 percent tablet marketshare in schools.

Apple have a huge competition from Samsung, Amazon, Google and Microsoft. Lower-priced products from Samsung are taking marketshares along with the other mentioned companies above. Q4 is a very important season for Apple, and Chief Executive Officer Tim Cook is planning to sell new IPhones and Ipads at the end of this year.

Apple have spent a lot of time in their inovation this summer, and they are exploring new product categories with “significant opportunities,” Tim Cook said on a conerence call today. They will release a new iPad Air on Nov. 1. Later on, they will follow up with their new iPad mini with a high-definition screen.

Apple is happy to go into the holidays with their new products like iPhone 5c, iPhone 5s, iOS 7, the new iPad mini with Retina Display and the icredibly thin and light iPad Air, new MacBook Pros, the radical new Mac Pro, OS X Mavericks and the next generation iWork and iLife apps for OS X and iOS. The new iPhone will be available in 100 countries by the end of the year.

Not only the competitors are pressing Apple on margins. The shareholders are giving them some pressure too. Investor Carl Icahn (The one I wrote about, selling 50% of his shares in Netflix) has publicly said he want Apple to initiate a $150 billion buyback to boost the company`s stock price.

Apple paid out $36 billion in dividends and buybacks in the past 5 quarter, and are now discussing what to do with their cash. News on that case will follow early in 2014. Apple`s cash dividend will be $3,05 per share of the common stock, and is payable on November 14, 2013, to shareholders of record as of the close of business on November 11, 2013.

Market participants will continue to look at the earnings this week, as well as the FOMC meeting that will be released on Wednesday. News today: Core Retail Sales/Retail Sales & PPI at 8:30am, CB Consumer Confidence at 10:00am.

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Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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The biggest gainer in S&P 500 in 2013!

Netflix exceeded most of the expectations yesterday with their business model for streaming tv and film service. In the third quarter, they added 1,3 million streaming subscribers in the U.S and that is the highest ever.

It`s funny to think about. Ten years ago, Netflix delivered the films only through DVD`s mailed to the customers, which made them the highest-performing stock on Nasdaq. Now the business model is totally different and more profitable.

Netflix is big in the U.S, but are growing outside of the country. They have a new agreement with Virgin and so far they have added 1,4 million subscribers for a total of 9,2 million. Investors are impressed and sent the stock up to $390 in after-hours trading. That`s 10%.

History tells us that this can be a very volatile stock. In 2003 Netflix was the highest performing stock on Nasdaq. They had solid results compounded by momentum. Now, they say it feels like 2003 euforia.

Despite the huge swings in the stock price since 2002 IPO ($8 down to $3 to $39 to $300 to $55 to $330) they continued to grow the membership every year fairly steadily. What they have made over the last 10 years is stunning. Netflix say they want to make the next 10 years remarkable. Earnings-per-share is 52 cents and the net income for the quarter reached $32 million and that is up from $8 million in 2012.

Investors paid close attentions to the number of subscribers because they have predicted that they could have 60 million to 90 million members in the U.S, and even more overseas. Yesterday, Mr. Reed Hastings (CEO), who frequently singles out HBO as the main competitor, hinted at a specific number it`s aiming for.

They have a long way to go to match HBO`s 114 million global member count. Mr. Hastings also talked about Netflix`s tv show like «House of Cards,» and the new and bigger hit «Orange is the New Black.» Mr. Reed Hasings (CEO) says that «Orange» will end the year as Netflix`s most-watched original series ever. The typical Netflix subscriber still spends a lot of time streaming repeats of TV shows.

More than 25% of the companies on S&P 500 are comming with their earnings report this week. Yesterday, I was looking for the earning from Netflix. The stock have soared this year and few investors expect the stock to pull back following its results on monday.

People want to see films. Watch movies and TV shows. They don`t want to spend money on burgers. McDonald’s fell 0,8% to $94,42. They warned global October sales could be flat. Apple rose 2,5% to a shareprice of $521,83 and was the largest winner on Nasdaq.

Guidance for Apple numbers from September 23 told us that it is sold over nine million iPhone 5cs and 5s`s in their first three days (SEC 8-K filing). Apple`s guidance results in EPS is between $7,23 and $8,09 for september quarter.

It is expected to see a revenue of $37,5 billions. Up 4,3%, which is above the guidence of $37 billion. Iphone should be over 50% of revenue and 65% of profits. I think the future is in the hi tech now. The tablet sale is just in the beginning of a new era. I look forward to Apple`s earnings report.

News today: Non-Farm Employment Change/Unemployment Rate at 8:30am.

Reed Hastings

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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