Apple (AAPL) Stock Flat Despite Crushing Expectations for Q2

Apple Inc (NASDAQ:AAPL) is the most valuable technology company in the world. It was the first publicly traded U.S. company whose market capitalization hit $1 trillion in August 2018. However, it did not stop there and continued its rapid growth. In a short span of just two years, its market value skyrocketed to a record $2 trillion, once again becoming the first company to hit that milestone. Apple is best known for its iconic products such as iPhones, iPads, and MacBooks.

The California-based tech giant recently announced its financial results for the second quarter. Apple reported earnings of $23.6 billion, or $1.40 per share for the three months ended March 27, well above $11.2 billion, or 64 cents per share in the comparable period of 2020. Analysts on average were looking for earnings of 99 cents per share.

Revenue for the quarter climbed 54 percent on a year-over-year basis to $89.6 billion, crushing the consensus forecast of $77.1 billion. iPhone sales jumped to $47.9 billion in the quarter, significantly higher than $29 billion in the comparable period of 2020.

If we look at the performance of other segments, iPad revenue came in at $7.8 billion, versus $4.4 billion in the year-ago quarter. Comparatively, Mac revenue jumped to $9.1 billion, versus $5.4 billion in the same period last year. Moreover, revenue from the wearables, home and accessories segment rose to $7.8 billion, as compared to $6.3 billion in the comparable quarter of 2020.

Speaking on the results, CEO Tim Cook said, “This quarter reflects both the enduring ways our products have helped our users meet this moment in their own lives, as well as the optimism consumers seem to feel about better days ahead for all of us.”

Apple stock did not gain any value despite reporting strong Q2 results. Overall, the stock is trading flat in terms of price change on a year-to-date basis.