CNBC’s experts comment on Apple’s Q1 2022 (videos)

The video clips I’ve seen. More as they land on YouTube.

Citi’s Jim Suva:

Goldman Sachs’ Rod Hall:

Bernstein’s Toni Sacconaghi:

Tim Cook with CNBC’s Julia Boorstin:

Neuberger’s Daniel Flax

Mad Money’s Jim Cramer:

Loup Ventures’ Gene Munster:

Wedbush’s Daniel Ives, Chatham’s Colin Gillis and Hightower’s Stephanie Link:

CNBC’s Julia Boorstin with the Fast Money traders, Guy Adami, Dan Nathan, Karen Finerman and Brian Kelly:

 

24 Comments

  1. Robert Paul Leitao said:
    Apple absolutely crushed expectations. The shares are up more than $9 today. However, shares are still off $14 from the all-time high set earlier this month. I read this morning there are now expectations for up to 7 rate increases from the Fed this calendar year. Where from here? Questions about Apple’s plans for the metaverse seeped into yesterdays’ conversation with analysts. Are absolutely stunning results not enough?

    Watching the market this month suggests the “gravitational pull” on equities is quite strong. Where does the share price go from here? What are the expectations of Apple 3.0 subscribers?

    4
    January 28, 2022
  2. Bart Yee said:
    Imagine what would have happened if Apple / AAPL had not been facing an inflationary interest rate hike pandemic environment? Today’s price action could just as easily have been at a $175+ price base.

    OTOH plenty of dry powder pulled aside recently just came back into AAPL and other tech, save for NFLX. Today roughly $20.8B changed hands (125M shares x ~$166.58 Ave share price) in AAPL stock.

    2
    January 28, 2022
    • Robert Paul Leitao said:
      Bart: In my view, if it wasn’t for the swift broad market sell-off that began earlier this month, I would have expected Apple to be hitting new all-time highs following the release of these staggering December quarter numbers. It was less than four weeks ago (Tuesday, January 4th) that Apple set the current all-time high of $182.94.

      2
      January 28, 2022
  3. Bart Yee said:
    YTD as of close today for anyone who is keeping score:
    AAPL -4.08%
    MSFT -8.34%
    GOOGL -7.94%
    AMZN -13.64%
    FB/META -10.30%
    NVDA -22.34%
    TSLA -19.91%
    NFLX -36.20%
    005930.KS Samsung Electronics -6.39%

    1
    January 28, 2022
    • Robert Paul Leitao said:
      Bart: Like I’ve said, there’s tech and then there’s high quality tech. There’s also pandemic plays such as Netflix that are experiencing significant changes to their near-term growth trajectories as we exit the pandemic period. I don’t know for sure where the market is headed over the next few months. I do know for sure if I’m in tech it will be quality tech now and for the foreseeable future. Thank you for the info!

      1
      January 28, 2022
  4. Fred Stein said:
    @Robert, weighing in:

    Macro economics and concomitant emotion have already had some impact. While some more pressure may come, I doubt it will long or strong. Apple’s organic growth plus buybacks mitigate the downside. It seems the market finally gets this and sees AAPL as the safe haven since EPS can out-run T-bill rate increases.

    This blow out quarter dispels all the old negative tropes. At the same time, weaker hands have once again, left the poker table.

    1
    January 28, 2022
    • Robert Paul Leitao said:
      Fred: Where from here in the short-term? How long do you think it will take for the share price to challenge the recent all-time high of $182.94 set on January 4th?

      0
      January 29, 2022
  5. Jerry Doyle said:
    I long have used the descriptive “Apple is firing on all cylinders” and that “Apple’s best days lie ahead.” Nothing has changed, and Q1 results only reinforce my descriptive viewpoint of Apple, Inc.

    The January market malaise was not figured-in by myself and I doubt by others on this forum. So, I don’t expend much energy worrying about extraneous matters of which few have influence over. I just know that we are in the midst of a new industrial revolution that will alter fundamentally the way we do business, work, live, play and communicate with one another. We are told that in its scale, scope and complexity that the transformation will be unlike anything humankind has experienced before now. One thing is clear, though, the response to it must be integrated and comprehensive, involving all stakeholders of the global polity, from the public and private sectors to academia and civil society. There is little doubt in my mind that the premier global technological company, Apple Inc., is on the cusp as a prominent leader in this revolution. Few companies can innovate and navigate successfully through this transformation of emerging technologies with a level of breadth and depth of understanding, and the ability to respond appropriately, as Apple, Inc.

    It doesn’t matter if we have seven rate hikes or four. It’s irrelevant if Putin initiates another foray into the Ukraine. Geo-political events always happen. Along with the advent of a new global industrial revolution comes powerful growth. I don’t worry about the economy slowing because experimental, new and unique innovations will continue to jump-start the global economy at each cyclic economic occurrence.

    WS analysts are beginning to understand better the company, Apple, Inc. As Apple moves to disrupt the Healthcare industry, recondition the transportation industry, refashion the payment industry, embrace the entertainment industry, and continues to pump through its product pipeline the most user friendly unique, innovative technologies available to humankind for enhance communication, work, learning and creativity then it only is a matter of time before that mental grasp of understanding Apple leads WS analysts to accept the stock’s higher deserved valuation. Apple’s stock price has the potential to double, triple and even quadruple as Apple moves into new growth sectors during the fourth industrial revolution. Folk need to come up from the weeds, stand tall and scan the horizon to glean where Apple is heading.

    6
    January 28, 2022
    • Robert Paul Leitao said:
      Jerry: Thank you for the thoughtful post! You mention Apple having the potential to double, triple or quadruple its share price as we move into a 4th industrial revolution as described by Klaus Schwab. The doubling of Apple’s share price would push the market cap to about $5.5 trillion dollars. I’m not looking for a firm date, but do you have a date range for a doubling of the share price based on Apple’s current growth trajectory?

      0
      January 29, 2022
      • Jerry Doyle said:
        @Robert Paul Leitao: Apple is firing on all cylinders generating humongous revenues from an increasing IB of users becoming entrenched into the company’s ecosystem through their daily active engagement with Apple’s unique, innovative and utilitarian products and services that enhance users activities of daily living while carrying out their job tasks, facilitating their communications, enriching their learning experiences, contributing to their play, and giving them needed data for proactively managing their health and fitness. Apple through its products and services enveloped in a constellation of security, privacy and trust is fast becoming the go-to comforter and security blanket for a mass swath of populace to get through their day. For users, Apple is no less than their pet dog wagging its tail with excitement on being with them or their pampered cat curled contiguously purring all while waiting for the next caress. I anticipate with confidence Apple doubling its market cap within 5-6 years and that is predicated on its current growth trajectory in the absence of new and innovative disruptions in industrial sectors related to Apple research and development.

        2
        January 29, 2022
        • Robert Paul Leitao said:
          Jerry: Thank you for the response!

          0
          January 29, 2022
  6. Michael Goldfeder said:
    PED,

    Thank you for the Rod Hall video. He reminds me of a losing football coach who just got pounded to the tune of 63 to 0, saying in the post game presser: “Had we not fumbled the ball 4 times and thrown 3 interceptions, we would have been in this game and the score is not indicative of how well our team played as they never quit.”

    I’m also concerned that after being categorically wrong on Apple since forever, that Rod’s never seen anymore wearing a tie. Perhaps he’s using plastic utensils too?

    2
    January 29, 2022
  7. Bart Yee said:
    Pretty amazing quarter and what really caught my eye was Luca previously had mentioned heavier supply chain constraints in the Dec. quarter and gross margin to be in range of 41.5-42.5%. Yet despite that and all we knew that happened from Sept-Dec., Apple managed to sidestep most of it, and increased gross margins to 43.8% with, IMO, an expected, not outlandish, increase in services. That means exactly what Luca said in the call:

    “Products gross margin was 38.4%, up 410 basis points sequentially, driven by leverage and mix.

    Services gross margin was 72.4%, up 190 basis points sequentially, mainly due to a different mix.”

    This is astounding, adding huge value through innovation to the iPhone, Mac, Wearables and accessories hardware, YET increasing profitability of said hardware. Mac M1 we can easily see because of huge parts reductions and compact form factors, iPhones benefit from more unified architecture and maybe simplified construction, etc. so a lot of the revenue gains come from proper design and supply chain leverage, despite potential labor cost and production / shipping increases. And not to mention excellent pricing power in all markets.

    5
    January 29, 2022
  8. Manfred Schwencke said:
    It‘s difficult to understand how Rod Hall is still not fired at Goldman.
    In the video, he said Apple only outperformed S&P 500 by 6 percent. That is huge! How can Goldman be wrong with Apple for years and do not react? Their clients missed a multi billion (if not trillion) upside!

    Just a sidenote: I hope Apple buys Peloton! Would be a perfect fit, like Beats some years ago.

    1
    January 29, 2022

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