Consumer electronics giant Apple (AAPL) is preparing to report its fiscal second quarter earnings a week after announcing a new chief executive officer (CEO).
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Apple’s latest print on April 30 comes days after current CEO Tim Cook announced he will step down in September and be succeeded by senior vice president of hardware John Ternus. Analysts say the upcoming earnings will lay the table for the company that Ternus inherits later this year.
Expectations on Wall Street are high for Apple’s financial results following a record fiscal first quarter from the company due largely to robust iPhone sales. Analysts are looking for more of the same from Apple amid signs that the newest iPhone 17 has been selling well globally, notably in China.
Apple’s AI Challenges
However, Apple, like the rest of the smartphone and computer industry, is managing a global shortage of memory chips caused by the artificial intelligence (AI) data center buildout. For the quarter, Wall Street is anticipating Apple to report earnings per share (EPS) of $1.96 on revenue of $109.66 billion, according to data from Bloomberg Markets.
Analysts and investors will also be watching Apple’s financial results for any progress being made with AI technologies and integrating them into its various devices. The company is under increasing pressure to add AI features to its iPhone, iPad and other devices, particularly an updated version of its Siri digital assistant. However, those AI updates might have to wait until later this year.