Or at least you’d think so…
Reading the tech press right now, particularly if you’re a fan of the fruits of Idun (Viking in joke there) it would appear that the writing is on the wall for Apple. After years of annual growth they are now apparently seeing the sales of their flagship iPhone level out, decline even. It looks like this will be proven if they sell less than 6.1million iPhones in the March quarter.
Apple forecasts that its total revenue in Q2 2016 will be between $50 and $53 billion. This, compared with the $58 billion last year, makes it Apple’s first year-over-year drop in revenue in thirteen years. And according to some on Wall Street, that’s a disaster and Apple ARE DOOMED! Now I don’t work at the stock exchange (no shit Sherlock!) but as a regular pillaging Viking I look at those figures and think they might still be ok. When we raid a small fishing village we’re lucky to come away with a few plates, some mouldy bread, and the odd cup or two. Luckily the Nerdic Vikings are not a PLC so we don’t have to worry about shareholders. But a quarterly revenue of between $50-$53 billion, and the market is nervous?? Wow. That’s more than a lot of countries national debt! Sorry if I have compassion fatigue for those poor shareholders.
I wonder if this is why Apple have such an aggressive stance when it comes to buying back its shares? It makes sense to me. Take back control. My first computer was an old grey Apple PowerMac. The company were on the rocks. Microsoft had to bail them out. They even sold trainers ffs. Their patience, commitment to their philosophy, and history places them in a very good place to ride this (supposedly dreadful) storm.
Do I think I’ll be forced to give up my iPhone because Apple have gone bust?
Not just yet.