Consumer electronics giant Apple (AAPL) has delivered Fiscal fourth-quarter financial results that beat Wall Street estimates across the board.
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The Silicon Valley-based company announced earnings per share (EPS) of $1.64, topping consensus forecasts of $1.60. Revenue in the quarter totaled $94.93 billion, which beat expectations that called for $94.58 billion. Sales were up 6% from a year earlier.
Breaking down the results by Apple’s various products, iPhone revenue amounted to $46.22 billion versus $45.47 billion that had been estimated. iPhone sales grew 6% year-over-year in the period. The iPhone remains Apple’s most important product, accounting for 49% of its overall sales.
One-Time Charge and Other Sales
While iPhone sales experienced growth during the Fiscal fourth quarter, revenue from Apple’s other product categories missed Wall Street forecasts, with sales of Mac computers, iPads, and Other Products all coming in below expectations. Revenue from Apple Services, which includes its app store and streaming service, came in at $24.97 billion, falling short of forecasts of $25.28 billion.
Apple’s gross margin in the quarter was 46.2% compared to an estimate of 46%. During the quarter, Apple said that it paid a one-time income tax charge of $10.2 billion to resolve a long-running case dating back to 2016 over how the company handled taxes in Ireland. As is customary, Apple didn’t provide any official forward guidance.
Apple said that it spent $29 billion on share repurchases and dividends during the quarter. The company’s cash pile now stands at $156.65 billion. AAPL stock has gained 18% so far this year.
Is AAPL Stock a Buy?
Apple stock has a consensus Moderate Buy rating among 33 Wall Street analysts. That rating is based on 23 Buy, eight Hold, and two Sell recommendations assigned in the last three months. The average AAPL price target of $247.32 implies 9.67% upside from current levels.
