Apple Q2 earnings preview: Where next for Apple shares ahead of its quarterly results?

Apple has gone from strength-to-strength over the past year after reporting record sales, setting the stage for the corporate to deliver another solid set of results. We explain what to expect and appearance at where Apple shares might be heading.
When will Apple release its Q2 results?
Apple will release quarterly results on Wednesday April 28 at 1400 PT/1700 ET (2200 BST).

This will cover the primary three months of 2021, which represents the second quarter of Apple’s fiscal year .

Apple earnings consensus: what to expect
Apple has continued to boost the bar during the pandemic. Its upcoming quarterly results follow on from the iPhone maker reporting its highest ever quarterly sales during the busy season within the final three months of 2020, amid a 35% jump in earnings.

All of its product categories delivered double-digit growth as demand for Apple’s entire ecosystem of products and services continues to grow. this could continue as a variety of latest products – including its new AirTags, a replacement iPad Pro and iMac that are both powered by its own M1 chip, its next-generation of Apple TV, and a replacement podcast subscription service – start to become available from the top of April.

While new hardware will help keep growth going, the main target is increasingly turning to how Apple leverages the billions of devices in people’s hands to push its digital services starting from streaming and gaming to advertising. Meanwhile, the discharge of smaller additional hardware like AirTags continues to grow the Apple ecosystem and provides its loyal fanbase more stuff to meet up to their iPhone.

Expect the update to be short and sweet. Apple usually posts revenue and EPS figures and provides very limited commentary on its performance before divulging more information at its earnings call within the afternoon.

A Reuters-compiled consensus shows analysts expect Apple to report a 32% year-on-year rise in revenue to $77.2 billion and a 53% jump in earnings per share to 98 cents.

Where next for the Apple share price?
After hitting its record high of $145 at the beginning of the year the worth has eased lower hitting a floor round the $120 zone.

Buyers found fresh legs at the beginning of April. However, the worth is consolidating around $130 awaiting a fresh catalyst.

A strong set of numbers and forward guidance could see the share price remove resistance at $138 and head back towards $145 all-time high.

Any sense of disappointment could see the Apple share price test the 50 & 100 EMA around $125 before heading back towards the year so far low $120.