Apple Is Not Immune After All


  • Apple’s revenue was weaker than expected due to FX headwinds, difficult macro environment, and supply chain disruptions as a result of Covid-19 restrictions in China.
  • Guidance was light as the market was disappointed when the company guided a weak March quarter that will look similar to that of the December quarter.
  • Management reiterated that the supply chain is where it needs to be and supply of products is sufficient in the current quarter.
  • India presents an opportunity for Apple in the form of growth and an alternative production base.
  • I am of the view that earnings revisions from sell-side analysts face downside, and I remain neutral on Apple in the near term.

Flat Lay of different apple products on a grey background.

Shahid Jamil

While I do not think that Apple’s (NASDAQ:AAPL) first quarter of FY2023 was a big disappointment, it did show the rare vulnerability that Apple investors are probably not used to.

I have been neutral on Apple shares for

Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Outperforming the Market

Outperforming the Market is focused on helping you outperform the market while having downside protection during volatile markets by providing you with comprehensive deep dive analysis articles, as well as access to The Barbell Portfolio.

The Barbell Portfolio has outperformed the S&P 500 by 41% in the past year through owning high conviction growth, value and contrarian stocks.

Apart from focusing on bottom-up fundamental research, we also provide you with intrinsic value, 1-year and 3-year price targets in The Price Target report

Join us for the 2-week free trial to get access to The Barbell Portfolio today!

Leave a Reply

Your email address will not be published. Required fields are marked *