Hacker News Board Hacker News, browsed like a classic message board
Live data from Hacker News

Apple reports Q3 results

apple.com

Post reply on HN
Print view View original

111–120 of 251 posts

Re: Apple reports Q3 results

#111

Post by cj »

cercatrova wrote: post #84
adtac wrote: post #32

>The Board of Directors has also approved a four-for-one stock split to make the stock more accessible to a broader base of investors. Each Apple shareholder of record at the close of business on August 24, 2020 will receive three additional shares for every share held on the record date, and trading will begin on a split-adjusted basis on August 31, 2020.

Are stock splits necessary now that many brokerages have fractional shares? It seems the true metric is percentage gained or lost rather than the price.

One thing to note is stock price dramatically impacts the price of options.

For example 1 option contract for Amazon (over $3k share price) can easily be $4,000. In comparison, you can buy 1 option for Apple ($400) contract for $200. After the stock split, option contracts will be 1/4 the current price.

Lower stock prices make the options market much more accessible to people investing less money (for better or worse).

Re: Apple reports Q3 results

#112

Post by objektif »

shadowtree wrote: post #73
matthewdgreen wrote: post #3

Given the high rates of unemployment in the US and around the world (with possibly worse to come) this kind of consumer spending on luxury goods is pretty remarkable. Wonder how sustainable it is.

An iPhone is the durable personal computer for most people. They don't own a "PC", this is the only way to safely conduct e-commerce. Without it, you're done in the modern world (even government interactions, like scheduling a DMV visit). A necessity, not a luxury. Best security, best long term support, best re-sale value. If you're poor, an iPhone is the smartest choice. You need to AFFORD an Android device.

The only issue is that iphone revenue was not up but mac and ipad was up considerable. So people are actually buying more computers and tablets.

Re: Apple reports Q3 results

#113

Post by cblconfederate »

tqi wrote: post #59

Apple, Alphabet, Amazon, and Facebook, which combined are worth almost $5 trillion dollars[1] all releasing earnings on the same day seems crazy. From what I could find, that is 14% (5T/35T) of the total stock market posting earnings on the same day [2]. I'm curious if anyone has thoughts on what effect that has on the overall market in terms of volatility? (I really have no good idea as to how any of this works) Cou…

There is only so many trillions to be invested in stocks (because, where else?), and they have already been invested. Stock markets have for so long had a totally irrational relationship with day-to-day news, that they probably won't move the needle much.

Re: Apple reports Q3 results

#114

Post by ajzinsbwbs »

Wow, iPad revenue up 31% YoY after being down ~10% in the last few quarters. Similar numbers to a Q1 (holiday season). I guess it makes sense that the tablet form factor is popular when so many people are indoors.

Also, services revenue grew YoY but it’s the first time it didn’t grow QoQ in a long time, so it seems to have stagnated. Services include a lot of recurring revenue so they should be consistently growing QoQ.

Wearables growth also slowed, this may be the other side of the coin when people are indoors and don’t want to buy a watch for fitness tracking.

Re: Apple reports Q3 results

#115

Post by [deleted] »

objektif wrote: post #112
shadowtree wrote: post #73

Earlier quoted context omitted.

An iPhone is the durable personal computer for most people. They don't own a "PC", this is the only way to safely conduct e-commerce. Without it, you're done in the modern world (even government interactions, like scheduling a DMV visit). A necessity, not a luxury. Best security, best long term support, best re-sale value. If you're poor, an iPhone is the smartest choice. You need to AFFORD an Android device.

The only issue is that iphone revenue was not up but mac and ipad was up considerable. So people are actually buying more computers and tablets.

[deleted]

Re: Apple reports Q3 results

#116

Post by ogre_codes »

vosper wrote: post #61
matthewdgreen wrote: post #3

Given the high rates of unemployment in the US and around the world (with possibly worse to come) this kind of consumer spending on luxury goods is pretty remarkable. Wonder how sustainable it is.

Are these things actually luxury goods? A smartphone is probably one of the most essential and important devices in many peoples lives these days. Certainly one of the most used. There is the option of Android instead of Apple, but as someone pointed out one time, iPhones are cheaper than flagship Android devices if you account for the support lifetime of an iPhone being a lot longer than any Android device. And that…

> Are these things actually luxury goods?

I have a lot of trouble characterizing tools as luxury goods. I don't consider my Dewalt tools "Luxury Goods" and they cost roughly twice what basic Harbor Freight tools cost.

You pay for longevity and performance. It's no different with phones/ tablets/ computers. If you want a phone or tablet that lasts 4+ years there is only one brand that offers that kind of device life.

Also, with Apple cranking out the base iPhone at $400, and the massive second hand market for iPhone, it's hard to argue many people associate the brand with luxury the way they do Coach or other luxury brands.

If anyone thought Apple was a "luxury" brand, the flop of the solid gold Apple Watch "Edition" sub-brand should have disabused them of the notion.

Re: Apple reports Q3 results

#117

Post by nostrademons »

Jommi wrote: post #35
shmatt wrote: post #6

Earlier quoted context omitted.

Unemployed Americans have (temporarily) discovered the world of fare living-wage unemployment that expires tomorrow. If you don't live in NY or CA, those extra $600 a week can go very far, and have probably helped stimulate the economy greatly

What planet are we living on? 600 a week is 2400 a month, which way over any entry level salary in Europe. How inflated are the salaries in US? Or are people used to some really abnormal level of living?

Rent for a low-end 1BR in Silicon Valley is about $2000/month. Low-end 2BR = ~$2600/month, high-end 1BR = ~$4500/month. Houses are ~$10K/month and up.

Entry-level tech compensation is ~$180K/year, mid-career = ~$600K/year. If you're not in tech you're screwed here - formerly middle-class professions like teachers/police/firemen live 4 to a 2BR apartment, or they buy houses an hour or more away. Even mid-career finance professionals get screwed - salary for CEO of a local (not nationwide) bank is in the ~$150-200K range, and barely competes with a new grad at Google or Facebook.

Re: Apple reports Q3 results

#118

Post by notsureaboutpg »

shadowtree wrote: post #73
matthewdgreen wrote: post #3

Given the high rates of unemployment in the US and around the world (with possibly worse to come) this kind of consumer spending on luxury goods is pretty remarkable. Wonder how sustainable it is.

An iPhone is the durable personal computer for most people. They don't own a "PC", this is the only way to safely conduct e-commerce. Without it, you're done in the modern world (even government interactions, like scheduling a DMV visit). A necessity, not a luxury. Best security, best long term support, best re-sale value. If you're poor, an iPhone is the smartest choice. You need to AFFORD an Android device.

I just don't think the stats bear this out. Apple vs Android is like 60/40 market split in the US, that doesn't bear out the idea that poor people NEED an iPhone AND know that they need it and pay for them accordingly.

It's probably a mix of both. iPhones are probably BOTH a status symbol AND a device many people see as a necessity and so are willing to splurge a bit more on (same as with cars).

Re: Apple reports Q3 results

#119

Post by sf_rob »

cblconfederate wrote: post #113
tqi wrote: post #59

Apple, Alphabet, Amazon, and Facebook, which combined are worth almost $5 trillion dollars[1] all releasing earnings on the same day seems crazy. From what I could find, that is 14% (5T/35T) of the total stock market posting earnings on the same day [2]. I'm curious if anyone has thoughts on what effect that has on the overall market in terms of volatility? (I really have no good idea as to how any of this works) Cou…

There is only so many trillions to be invested in stocks (because, where else?), and they have already been invested. Stock markets have for so long had a totally irrational relationship with day-to-day news, that they probably won't move the needle much.

Market cap is set by marginal prices, so supply of uninvested capital isn't super relevant and might even increase volatility due to lower liquidity.
Post reply on HN