CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Please ensure you fully understand the risks involved. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Please ensure you fully understand the risks involved.

Apple set for vital earnings report after 33% surge off recent lows

Apple has seen its stock surge by a third from the March lows, and investors will be keen to see if the outlook for the rest of the year justifies the current rebound.

Apple Source: Bloomberg

When is Apple’s earnings date?

Apple publishes second quarter (Q2) earnings on 30 April.

Apple earnings – what does Wall Street expect?

Apple is expected to report earnings of $2.27 per share, and revenue of $54.2 billion, down 7.5% and 6.3% respectively compared to a year earlier.

As with all companies this earnings season, the focus for Apple will be not on what has happened, but what will happen. The company is expected to report a sharp drop in sales for the quarter, but it is likely that Q3’s outlook will contain a reference to lower sales for the current quarter. The one piece of good news may relate to the next iPhone cycle, and plans for the launch of the new product, even if this is delayed to year-end.

How to trade Apple earnings

The last quarterly update from Apple in January saw the stock rise 3.9%, while the average move on results day is 4.4%. At present, options pricing points to a move of 3.9% for the stock this week.

Apple stock – technical analysis

The descending channel of March has been replaced with an ascending one, as Apple’s stock continues its recovery. The price found support last week at the lower bounce of the channel, rebounding from $268. Further gains target the mid-April high at $295, while above this the top end of the channel above $300 may provide resistance.

The bullish view remains in place unless the price reverses below $268, a vital area of support that was previously resistance during the late March consolidation phase.

Apple’s recovery leads the way

Having gained a third from the March lows, there is a lot of good news being factored into Apple’s stock price. But if it can spin a more positive story about a return to normality later in the year then we may see further upside.

Apple chart Source: ProRealTime
Apple chart Source: ProRealTime

This information has been prepared by IG, a trading name of IG Australia Pty Ltd. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.

Seize a share opportunity today

Go long or short on thousands of international stocks.

  • Increase your market exposure with leverage
  • Get commission from just 0.08% on major global shares
  • Trade CFDs straight into order books with direct market access

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.