Apple has officially scheduled their 3rd quarter earnings call for July 24th at 5pm EDT. As one of the top 2 most valuable companies in the world, thousands will be checking in on the call to see how Apple has faired this last quarter while so many other tech companies have struggled.
If Apple has a weak performance it can greatly impact the stock price of other tech firms as consumers might loose confidence in the industry’s ability to fight through difficult economic times.
A poor showing now can also have significant impact for Tim Cook, Apple’s CEO, as the company has performed extremely well since the passing of it’s founder Steve Jobs. Many will closely watch how Cook handles a difficult quarter and what his approach will be to keep share holders confident in the companies ability to reach new highs.
The US presidential election is quickly closing in on us and you can bet that President Obama and his team are hoping for any signs of an improving economy. If Apple performs well, it may rally other tech stock prices. If they also perform poorly, Wall Street may continue it’s struggles and the overal perception of the economy will worsen.
Of course, Apple alone doesn’t hold the fate of the US economy or the Presidential election, but because the rest of the market has been performing poorly the one company that has seen insane growth through difficult economic times needs to continue to show that growth to give people hope. Additionally, Apple’s success can be directly correlated to the consumers willingness to spend. If consumers stop buying what they’ve previously believed to be the hotest items on the market and they’re not replacing that with any other product it’s a bad sign for the economy, and then a bad sign for any elected official in office.
Apple announced a number of improvements to their product line and Operating Systems in June. These announcements often excite investors and Apple can see a jump in their stock price in the days and weeks following the announcement. There has been some improvement since WWDC 2012 but the Apple’s stock price hasn’t jumped at the level I would have expected given their Retina Display Macbook Pros are significantly better than any other notebook on the market and the features announced in iOS 6, including the new maps feature, are believed by many journalist to be better than those offered by Android phones.
If you can’t join the call on the 24th to see how Apple performed this last quarter than be sure to check in on the latest stock news with the Online Trading Academy app on your iPhone or iPad.