Apple's Earnings

Yesterday, Apple released their July to September quarter earnings. They beat on both the top line (revenue) and the bottom line (earnings). The company is very excited for the future with the release of the new products (iphones, ipads, macs) and services (Apple Pay). they raised guidance on both revenue and earnings for the October to December quarter.  The Apple press release can be found here.

Revenue for the quarter ended up at over $42 billion dollars. That is much higher than the analyst estimate of $39 billion dollars. Earnings for the quarter ended up at $1.42 per share. The analyst estimate was for Apple to earn $1.30 per share. This was  a home run for Tim Cook and company. Future revenue has been revised upward to between $63.5 billion and 65.5 billion. Earnings per share for the current quarter are projected to be around $2.40 per share.

Apple saw a 20% increase in sales of the iphone. That was offset a bit by a 6% drop in ipad sales. There will be a major spike in sales this quarter as Apple promotes the iPhone 6, new ipads, and opens its product lineup to over 100 more countries.

Apple is embarking on influencing new markets and products. With the release of Apple Pay, the iphone 6 and 6+, new ipads, macs, and the coming sales of the Apple Watch, they are geared towards 
 a high level of profitability and success. There is a feeling that analysts that haven't already raised share price targets will do so soon. Cantor Fitzgerald already has a $143 target price. For this reason,
 KDK Options will continue to hold its call option.

 If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **



- Guidance
     - Revenue and EPS
     - # of products expected to be sold

Overall
- New products
- New service (Apple Pay)