Inside Scoop: Inside Scoop: The bottom line on Apple's bottom line
About Video Comments (0 ) Transcript

Inside Scoop: Inside Scoop: The bottom line on Apple's bottom line

2:01 /

Despite some gloom and doom speculation, Apple's latest earning report surpassed Wall Street expectations as the company announced strong sales of iPhones and iPads. CNET Senior Writer Josh Lowensohn gives us the Inside Scoop on Apple's plan to boost its stock price, and what the company would and would not say about its future products.

-In today's earnings, it was kind of a surprise because Apple actually met expectations. A lot of the times, they've had a blowout, but then kind of more recently, they've missed particularly 'cause analysts kind of upped these estimates. So, this is kind of the first time that Apple has provided something that's a little bit lower and a little bit more conservative. And it actually worked out really well for them. For today's earnings, this is really kind of a show that Apple still is selling a lot of products. They've made all new records for iPhones and all new records for iPads. They're actually surprised on both those numbers which blew some of Wall Street's numbers away. The point really turns out in the future on what Apple is doing next. And Tim Cook today, who's Apple's CEO, really provided this vision that they're not really gonna have anything until fall and have a really good 2014, but that leaves a lot of questions between now and then. There are a lot of questions today about what Apple is doing next. The company was totally [unk] about it. Of course, there are questions about bigger iPhones, new products like a watch or a television. They kind of dodge around that by saying, "We don't have anything to tell you, but we have some really great stuff in the pipeline." It's really been their kind of go-to way of saying, "We can't tell you what's happening." But they seem really bullish about what's coming up next. Of course, when that is, we don't really know. The big news to come out today's earnings is really what they expect for the next quarter which isn't great. Their estimate was pretty far below what analysts were expecting. A big part of that is their margin. That's how much they make on each of their products. That is considerably lower than what people thought it would be. So, that combine with revenue, it's-- they're just not making as much as they used to based on the fact that products are more expensive. Along with the earnings announcement, Apple also announced a repurchase plan that was a little bit higher than what they had before, in fact $55 billion higher, along with the dividend that was 15%. This is really something they can do to potentially raise the stock price, but also make people happy with the stock which has been going down in value.

New releases

Recover deleted images
3:30 July 29, 2014
Accidentally deleted or formatted your camera's memory card? Restore and undelete all those photos with this...
Play video
2014 BMW 328d xDrive Sports Wa...
7:00 July 29, 2014
Wagons are hot and diesels are hot. Brian Cooley checks out how well BMW combines the hotness in the 328d...
Play video
The WD My Book Duo is an excellent...
2:54 July 29, 2014
The WD My Book Duo offers up to 12TB of storage space and gives fast performance, but CNET editor Dong Ngo...
Play video
Tomorrow Daily 026: Pure lithium...
21:22 July 29, 2014
Today's show features some enterprising hackers who modded an ATM to play Doom, Stanford researchers discovering...
Play video
Trick yourself into working out...
3:47 July 29, 2014
If you hate exercise but love games, Donald Bell showcases a few apps that can help improve your health s...
Play video
The voice-activated Ivee Sleek...
1:46 July 29, 2014
This $200 voice control home assistant isn't quite ready for prime time.
Play video
Samsung's Ativ Book 9 2014 Edition...
1:51 July 29, 2014
For anyone tired of working day-to-day on a small screen, but still wants a high-end, thin-and-light with...
Play video
OKCupid plays with our hearts without...
2:58 July 29, 2014
The dating site conducted an experiment that falsified compatibility matches without telling users. When the...
Play video
 

Video discussion

Conversation powered by Livefyre