Is Apple Stock a Buy Now?
Apple's (NASDAQ: AAPL) share prices are down by 8.5% so far this year. Worries about consumer slowdown affecting iPhone demand, high revenue exposure to a struggling Chinese market, overreliance on Chinese labor for production, antitrust issues in Europe, supply chain disruptions, foreign exchange headwinds, and disruption of business in Russia have weighed on this stock.
However, shares seem to be picking up momentum after the company reported better-than-expected third-quarter results on July 28 for the period ending June 25. Is this recovery a knee-jerk reaction to the recent earnings performance or does it mark a reliable upturn in the company's stock price?
Apple's third quarter revenue was $83 billion, up 2% year over year. Diluted earnings per share (EPS), on the other hand, fell year over year by 7.7% to $1.20. Despite slowing earnings growth, both revenue and EPS were firmly above Wall Street's estimates. The company has not given formal guidance for the next quarter or the rest of fiscal 2022, but expects supply constraints to tame and revenue growth to accelerate in the fourth quarter.
Source Fool.com
