Accelerating services revenue growth bullish for Apple
Apple counts on services revenue growth to become another major driver of growth. Will the Apple stock price continue rebounding?
Apple reported second quarter revenue of $58 billion, down 5% from the same quarter a year ago, over a month ago. And while iPhone revenue came in at $31.05 billion, also down but making up over 53% of Apple’s entire revenue, services division hit an all-time high of $11.5 billion in revenue. A month before the report, the company announced several new software initiatives including News Plus, Apple Arcade, and Apple TV Plus. The Apple Arcade and Apple TV Plus services are expected to launch this fall, and Apple counts on continuing double-digit growth of services revenue to drive overall revenue growth as revenue and units sold of Apple’s flagship product iPhone are under strain because of US-China trade dispute.
On the daily timeframe the S-AAPL: D1 has closed above the 200-day moving average MA(200) and Fibonacci 38.2. This is bullish.
Technical Analysis Summary
Position Buy
Buy stop Above 195.94
Stop loss Below 170.38
Apple counts on services revenue growth to become another major driver of growth. Will the Apple stock price continue rebounding?
Apple reported second quarter revenue of $58 billion, down 5% from the same quarter a year ago, over a month ago. And while iPhone revenue came in at $31.05 billion, also down but making up over 53% of Apple’s entire revenue, services division hit an all-time high of $11.5 billion in revenue. A month before the report, the company announced several new software initiatives including News Plus, Apple Arcade, and Apple TV Plus. The Apple Arcade and Apple TV Plus services are expected to launch this fall, and Apple counts on continuing double-digit growth of services revenue to drive overall revenue growth as revenue and units sold of Apple’s flagship product iPhone are under strain because of US-China trade dispute.
On the daily timeframe the S-AAPL: D1 has closed above the 200-day moving average MA(200) and Fibonacci 38.2. This is bullish.
- The Parabolic indicator gives a buy signal.
- The Donchian channel indicates uptrend: it has widened up.
- The MACD indicator gives a bullish signal: it is below the signal line and the gap is narrowing.
- The RSI oscillator is rising but has not reached the overbought zone yet.
Technical Analysis Summary
Position Buy
Buy stop Above 195.94
Stop loss Below 170.38