This content is rated TV-MA, and is for viewers 18 years or older. Are you of age?
Sorry, you are not old enough to view this content.
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

Tomorrow Daily 039: "Swarmies"...
18:06 August 20, 2014
On today's show, Ashley and Khail check out how NASA might use tiny robot swarms to search for resources on...
Play video
Upgrade RAM on your MacBook Pr...
3:16 August 20, 2014
Find out how to install more memory on your MacBook so that your computer can easily handle heavy tasks.
Play video
The Wink Hub strives for a smarter...
2:31 August 20, 2014
Unlike pricier protocol translators, Wink's $80 hub won't weigh you down.
Play video
Have you heard? Space gets loud...
32:14 August 20, 2014
They can't hear you scream in space, but that doesn't mean there are no sounds coming from the cosmos. The...
Play video
Image recognition: Making your...
13:02 August 20, 2014
The new wave of cameras is changing how you use your phone and tablet; why are batteries so far behind the...
Play video
AT&T's Asus PadFone X handset does...
1:47 August 20, 2014
Sporting a Snapdragon 800 quad-core processor and 13-megapixel lens, the 5-inch PadFone X smartphone can dock...
Play video
Sony's receiver offers big bang...
1:50 August 20, 2014
The Sony STR-DN1050 offers almost everything you could want in a mid-range receiver with plenty of features,...
Play video
The 404 Show 1,540: See-through...
35:31 August 20, 2014
Researchers at Michigan State University have created a see-through solar panel called "a window." Plus, LG's...
Play video
 

Video discussion

Conversation powered by Livefyre