Skip to content

CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please ensure that you fully understand the risks involved. CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please ensure that you fully understand the risks involved.

Apple Q1 2024 earnings preview: will strong product lineup fuel growth despite flat revenues?

Amid flat revenues and a challenging Chinese market, the tech giant's AI integration and upcoming VR headset launch are key focal points as Apple prepares to report its Q1 2024 earnings.

Source: Bloomberg

When will Apple report its latest earnings?

Apple is scheduled to report its Q1 earnings on Friday, February 2 at 5.30am (GMT+8).

The backdrop

Apple's Q4 2023 earnings, reported in early November, surpassed analysts' expectations for sales and earnings per share, but the company reported a 1% year-over-year decline in quarterly revenues.

Tim Cook, Apple's CEO, stated, "We now have our strongest lineup of products ever heading into the holiday season, including the iPhone 15 lineup and our first carbon-neutral Apple Watch models, a significant milestone in our efforts to make all Apple products carbon-neutral by 2030."

Key financials

Wall Street's expectations for the upcoming results are as follows:

  • EPS: $2.11 vs $1.46 per share in the previous quarter
  • Revenue: $117.95 billion vs $89.5 billion

Q4 2023 highlights

  1. An all-time revenue record in services of $22.31 billion compared to the expected $21.35 billion. The services segment includes subscriptions such as iCloud storage, the App Store, and Apple Music.
  2. A September quarter revenue record for the iPhone of $43.81 billion. Moreover, the iPhone was the only hardware line for Apple to exhibit growth in the quarter, while the Mac and iPad businesses contracted during the quarter. The period only included about one week of iPhone 15 sales.
  3. The wearables section, which includes AirPods and Apple Watches, experienced a year-over-year decrease of over 3%.

Net sales by category

Source: Apple.com

China's chill: Apple vs. Huawei

Of concern to shareholders, Apple's sales in Greater China, its third largest market, were flat on the year. Chinese government officials are banned from using Apple's devices in favour of homegrown products like Huawei. Outside of the public sector, the Chinese consumer remains cautious, as the Chinese economy remains tepid.

Net sale by segment

Source: Apple.com

What to look for in Q2?

In its Q4 Earnings call, CFO Luca Maestri guided that Apple expected December quarter revenue to be similar to last year's.

After a recent broker upgrade, which helped spark a sharp move higher in the Apple share price, there will be interest in commentary around the following topics:

  • The potential for long-term gains as the company integrates AI into iPhones
  • Prospects for the Vision Pro virtual reality headset, scheduled to launch on February 2 – a launch which seems to lack "buzz"
  • Whether Apple continues to gain market share in a contracting Chinese market
  • An update on iPhone 15 sales
  • The impact of the removal of the Oxygen feature from Apple Watches after its legal setback
  • Insights into the iPhone 16 due for release in September of this year.

Apple's sale revenue 2015 to the present

Source: TradingEconomics

Apple technical analysis

Following an almost 48% gain in 2023, Apple's share price has shrugged off some New Year nerves to trade higher in January, just 2.5% below its $199.62 all-time high.

Providing Apple's share price remains above a support band near $180.00/75, including the 200-day moving average at $181.45, recent lows in the $180 area, and uptrend support, we expect Apple's shares to break above resistance at $199 in the coming months, aiming for $220.00.

It's essential to note that if Apple's share price experiences a sustained break below $180/75, it would signal a deeper pullback, initially toward the $165.57 low from last October.

Apple daily chart

Source: TradingView
  • Source: TradingView. The figures stated are as of 24 January 2024. Past performance is not a reliable indicator of future performance. This report does not contain and is not to be taken as containing any financial product advice or financial product recommendation.

IGA, may distribute information/research produced by its respective foreign affiliates within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, IGA accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore recipients should contact IGA at 6390 5118 for matters arising from, or in connection with the information distributed.

The information/research herein is prepared by IG Asia Pte Ltd (IGA) and its foreign affiliated companies (collectively known as the IG Group) and is intended for general circulation only. It does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.

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. Please see important Research Disclaimer.

Please also note that the information does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. Any views and opinions expressed may be changed without an update.

Start trading forex today

Trade the largest and most volatile financial market in the world.

  • Spreads start at just 0.6 points on EUR/USD
  • Analyse market movements with our essential selection of charts
  • Speculate from a range of platforms, including on mobile

Find out more

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 20 mins.

The Momentum Report

Get the week’s momentum report sent directly to your inbox every Tuesday for FREE. The Week Ahead gives you a full calendar of upcoming key events to monitor in the coming week, as well as commentary and insight from our expert analysts on the major indices to watch.

For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

<h3>How much does trading cost?</h3>
<h3>Find out about IG</h3>
<h3>Plan your trading</h3>

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.