Apple Stock Value and Earning Report: iPod Developer's Share Earnings Beat Estimates
Apple reported its third quarter earnings Tuesday and investors and fans of the company were pleased that the earnings per share of $1.28 beat analysts predictions.
Analysts had predicted Apple to post earnings of $1.23 earnings per share on about $37.98 billion in revenue. Apple reported revenue of $37.4 billion.
"I couldn't be happier. This is the best execution of any quarter since I've been at Apple," CEO Tim Cook told CNBC.
For the fiscal fourth quarter, Apple is predicting a good quarter as well. They are expecting revenues between $37 and $40 billion.
There still are many questions on what products Apple will release. The wearable device that has long been awaited from Apple hasn't been introduced yet. The next iPhone is still a couple months away and Apple hasn't fully announced a release date or a name for the phone.
Apple hired an executive from the luxury Swiss watchmaker TAG Heuer. Analysts are predicting that this hire is trying to get people to associate the iWatch with luxury Swiss watches.
"What I think is interesting about Apple is all the new chapters that can open up," JMP Securities analyst Alex Gauna told CNBC. "A lot of people are expecting an iWatch, and that's a big opportunity-it's a $10 billion market in wearables right now."
Before reporting earnings Tuesday, Apple last reported earnings in April.
Since then, a lot has happened with the company.
First, the stock split. Formerly an expensive stock trading for over $600 a share, the stock became affordable for lower budget investors after its 7 to 1 stock split. Now, Apple shares trade for about $95 a share.
Next, Apple bought Beats headphones for $3 billion.
At their yearly WWDC conference, Apple announced iOS 8, new Mac software and more.
The company brought out a cheaper iMac so that more potential customers could be swayed into buying one.
Finally, Apple announced a big partnership with IBM. This partnership is designed to boost enterprise sales.
All of this good news led to Apple shares increasing by 26 percent since their last earnings report.
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