Apple reports Q3 results • Hacker News Board

Re: Apple reports Q3 results

#121

Post by Wohlf » Thu, Jul 30, 2020, 10:21 PM UTC

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.

First and foremost, the stock market is not the economy. Second, stocks are primarily traded on their expected future value, not current profits, hence why companies like Tesla have a price to earnings ratio that is absurd.

Re: Apple reports Q3 results

#122

Post by pb7 » Thu, Jul 30, 2020, 10:21 PM UTC

nawgz wrote: post #109

reaperducer wrote: post #45

Earlier quoted context omitted.

600 a week is 2400 a month, which way over any entry level salary in Europe. $2,400/month is the legal minimum wage in some cities. ($15/hour)

I believe EU salaries are usually discussed after-tax, so 2400 / month take-home pay. That is probably the main confusion here.

Seems like an odd way of going about it. If you and I work for the same company in the same exact job role but you're married to an unworking spouse with 2 children and I am single, I will be taxed higher than you so my take home salary would be less despite being paid identical amounts. You're destroying information by relaying it like this and it's misleading. Your personal tax situation is irrelevant to comparing salaries across jobs.

Re: Apple reports Q3 results

#123

Post by kwijibob » Thu, Jul 30, 2020, 10:24 PM UTC

ajzinsbwbs wrote: post #114

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 Q…

My guess for increased iPad sales: Zoom conferencing during COVID

Re: Apple reports Q3 results

#124

Post by runako » Thu, Jul 30, 2020, 10:24 PM UTC

cj wrote: post #111

cercatrova wrote: post #84

Earlier quoted context omitted.

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…

Even more relevant for absolute dollar terms: standard options contracts are for 100 shares. So a single contract of AMZN can require $300k in cash to cover, depending on the brokerage.

Re: Apple reports Q3 results

#125

Post by spideymans » Thu, Jul 30, 2020, 10:24 PM UTC

ajzinsbwbs wrote: post #114

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 Q…

>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.

I wonder how much this has to do with the release of iPadOS 13, which has made the iPad a significantly more capable "computer" than previous versions of the operating system. For the majority of users (you don't fall into this category, fellow Hacker News reader), the capabilities of iPadOS are quickly approaching that of macOS.

Re: Apple reports Q3 results

#126

Post by throwaway5792 » Thu, Jul 30, 2020, 10:26 PM UTC

nojito wrote: post #106

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…

Market cap is an irrelevant measure. It's simply the price of the last sold share * number of shares outstanding.

Why is that irrelevant?

Re: Apple reports Q3 results

#127

Post by FridgeSeal » Thu, Jul 30, 2020, 10:26 PM UTC

crazygringo wrote: post #66

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.

There's a good argument to be made that Apple devices are not luxury goods but save you money in the long run. They often last for many more years than competitors' products, receive upgrades for longer, become obsolete less quickly, and Apple will repair them both under warranty and out of warranty. (Many competitors simply do not service their products.) And when you're finally done with your device, you can often…

Oldest phone that gets iOS updates is what, the 6s or the 7? The former having come out in 2015, that is an amazing support lifetime.

I’m planning on keeping my iPhone X past the end of the year, which takes it to a 3 year lifetime, which works out as ~$600/year which is amazing value.

Re: Apple reports Q3 results

#128

Post by pkaye » Thu, Jul 30, 2020, 10:27 PM UTC

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.

Maybe from all the people working and studying from home.

Re: Apple reports Q3 results

#129

Post by ogre_codes » Thu, Jul 30, 2020, 10:27 PM UTC

ajzinsbwbs wrote: post #114

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 Q…

iPad had a spring product launch last quarter which makes a big difference. The previous generation of iPad Pro was more than 18 months prior. iPad sales are pretty weird in terms of cyclicality since launch dates are so random between models.

Re: Apple reports Q3 results

#130

Post by modeless » Thu, Jul 30, 2020, 10:28 PM UTC

crazygringo wrote: post #92

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.

So interesting that Apple does this around $400... meanwhile Amazon's over $3,000 and couldn't care less. It's very curious to me how and why different companies decide whether this is important or not.

Seems a lot less relevant now with the rise of fractional shares.