Apple

Apple Services is the 2nd of 4 pillars to our Apple as a Service thesis. It consists of the App Store, Apple Music, iCloud, iTunes, Licensing/Google, Apple Care, and Apple Pay. Critical to Services visibility is stable iPhone growth, which…

Our perspective that the iPhone will be a stable business for the next few years will be the most controversial of the four pillars to our Apple as a Service thesis. Based on the size of the active iPhone install…

We’re entering a new paradigm related to investing in Apple defined by 4 key themes that we call ‘Apple as a Service.’ Greater visibility in the iPhone business (62% of revenue), albeit at a 0-5% growth rate. This stability is…

Shares of AAPL were up ~4% in the aftermarket because investors had been expecting below-consensus guidance, but the company guided in line to slight upside for the Jun-18 quarter. (revenue guidance of $51.5-$53.5B vs. the Street at $51.5B) The iPhone business…

Apple reports on Tuesday, May 1st. Here’s what we expect: Modest risk (about 3%) to the Street’s Jun-18 revenue estimate based on negative comments from two suppliers. Jun-18 revenue guidance of $48-$51B vs. Street at $52.2B. The company to announce an…

Apple has been criticized for not doing enough in AI. Two recent announcements show the company is closing the gap. In the past two weeks, the company has announced the hiring of Google’s AI head, and an AI partnership with…

Apple has hired John Giannandrea who formerly served as Google’s head of AI and Search. Given the industry’s shortage of AI talent, Giannandrea brings expertise along with credibility, critical in recruiting. Giannandrea will likely be working on AI-powered interfaces that…

Market decline does not change the mega growth opportunities. The heart rate of the market increased the past week because of fears of a trade war, Facebook data privacy, and broken market technicals, but the health of the market is…

Apple announced an updated iPad along with a suite of programs that enable educators and students to pursue creativity, which is critical in the future of education. We estimate education accounts for 10-15% of Apple’s business. We believe today’s announcements…

Apple and Amazon are relative safe havens. We expect over the next year investors will look favorably on Apple given the company’s privacy-first ethos in an age where privacy is becoming a more prevalent topic. Amazon will also likely benefit…

Our recent intent to upgrade iPhone survey suggests the following: 22% of current iPhone users intend to buy the newest model that is yet to be announced. This compares to 23% a year ago (iPhone X) and 15% two years…

After markets closed, Finisar (FNSR) reported earnings for the Jan-18 quarter. Finisar is Apple’s 2nd largest VCSEL array supplier, which powers 3D sensing applications such as facial recognition through a flood immolator and dot projector on the front of the…