The major stock indices are moving higher as the clock ticks toward the close.
- Dow Industrial average is up 231.10 points or 0.60% at 44985.90
- S&P is up 37 points or 0.62% at 6077.11
- Nasdaq is up 78 points or 0.40% at 19711.
- Russell 2000 is up 34.78 points or 1.52% at 2317.91
Apple will announce their earnings after the close:
Earnings Expectations:
- Apple is expected to report EPS of $2.35 (up from $2.18 YoY). Up 7.79%
- Revenue of $124.26 billion (up from $119.5 billion YoY). Up 3.9%
Revenue Breakdown:
- iPhone Segment: Projected revenue of $71 billion (up from $69 billion YoY).
- Services Segment: Expected revenue of $26 billion (up from $23.1 billion YoY).
- Greater China Revenue: Estimated at $21.5 billion (up from $20.8 billion YoY).
China Market Challenges:
- China revenue dropped 8% in 2024 and 2% in 2023, with Apple citing currency weakness and lower iPhone/iPad sales.
Upcoming Product Launches:
- New entry-level iPhone SE, iPads, and MacBook Airs set to launch, expected to drive revenue growth.
Stock Performance:
- Apple's shares are up 24% YoY, comparable to Google’s 27% rise.
- Nvidia's stock is up 102% YoY, despite recent concerns about China's DeepSeek AI platform potentially reducing demand for AI chips.
Shares of Microsoft are still down sharply after earnings after the close yesterday. Shares are down -6.01%.
Meta-, on the other hand is up 2.02% after the earnings announcement last night, while Tesla shares are up 3.98%.
Broadcom has rebounded after falling sharply on the Nvidia meltdown. It's shares are up 5.27% today.
Buyers of Nvidia are less enthusiastic. It's shares are down $-1.13 or -0.93% at $122.50
