Apple (AAPL) Releases First Quarter Earnings

Apple releases its first-quarter earnings after the market closes on Thursday in the US.

Companies like Meta Platforms have led to bullish excitement for analysts, and traders can look to the resistance levels in Apple in the event of solid earnings.

AAPL – Daily  Chart

AAPL – Weekly Chart

AAPL stock has resistance at the $157.50 and $164.25 levels. Traders should focus on these as intraday targets on Friday and use them as a springboard for further gains if the stock exceeds them.

Apple’s announcement will follow a string of tech earnings from the likes of Snap and Microsoft, which have warned of slowing sales. However, better-than-expected outlooks are boosting stock prices, with Meta seeing a 20% rally despite missed earnings. 

Analysts surveyed by Bloomberg expect little difference from Apple as they expect its first year-over-year earnings decline since 2019. The last time Apple saw a decline in earnings, it was blamed on stagnating smartphone sales. This time analysts suspect the decline results from lockdowns in China and falling smartphone demand amid high inflation. 

According to IDC, iPhone shipments were 14.9% lower year-over-year, from 85 million units in Q4 2021 to 72.3 million in Q4 2022. Apple struggled with its supply thanks to the pandemic lockdowns at Foxconn’s plant in Zhengzhou, China. 

However, analysts are not only seeing supply pressure, as Bank of America’s Wamsi Mohan wrote recently. 

“We view the first half of 2023 as challenged given a somewhat weaker iPhone cycle (both supply and demand issues) and the second half will depend on the next iPhone cycle and contribution from AR/VR,” he wrote. 

If Apple’s iPhone sales show weakness, it could cloud the tech sector after the recent bullishness created by Tesla and Meta Platforms. A strong report from Apple could see an extended tech rally over February.

Recent News
Start Trading Now !

Try our demo account for free to learn trading. When you’re ready, switch to a live account and start trading for real.

Popular posts
ATFX

Restrictions on Use

Products and Services on this website are not suitable for Hong Kong residents. Such information and materials should not be regarded as or constitute a distribution, an offer, solicitation to buy or sell any investments.

使用限制: 本網站的產品及服務不適合香港居民使用。網站內部的信息和素材不應被視為分銷,要約,買入或賣出任何投資產品。

ATFX

Restrictions on Use

Products and Services on this website are not suitable for the UK residents. Such information and materials should not be regarded as or constitute a distribution, an offer, or a solicitation to buy or sell any investments. Please visit https://atfxgm.eu/en/ to proceed.

ATFX

Restrictions on Use

AT Global Markets (UK) Limited does not offer trading services to retail clients.
If you are a professional client, please visit https://atfxconnect.com