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Technology Stocks : Apple Inc.
AAPL 258.17+0.7%3:59 PM EST

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To: Dave Budde who wrote (54553)7/16/2006 4:09:22 PM
From: Cogito  Read Replies (1) of 213183
 
Dave -

Just looked back and grabbed last quarter's guidance for this quarter:

"Looking ahead to the third quarter of fiscal 2006, we expect revenue of about $4.2 to $4.4 billion. We expect GAAP earnings per diluted share of about $.39 to $.43, including an estimated $.04 per share expense impact from non-cash stock-based compensation, translating to non-GAAP EPS of about $.43 to $.47.”

Apple has consistently come in to the upside of their own estimates for a few years now. With Street estimates around $.44, only a penny more than the low end of Apple's expected range, I would be surprised to see them miss this time. I'm almost positive they would have warned that earnings were going to be on the low end of their previous guidance.

But who knows?

The question is made a bit murky by the fact that they spoke of both GAAP and non-GAAP EPS. Usually, The Street looks at income from operations, not worrying too much about one-time expenses. But expensing options is fairly new for most companies. Does anyone know whether the analysts are going to be looking more at the number after expensing options or before?

I'm very pleased with the quality of the discussion of the upcoming report. Thank you for your insights. Thanks to all the Yahoos, too.

- Allen
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