Apple’s (NASDAQ: AAPL) stock price recently dipped after the tech giant posted a mixed fourth-quarter report.
Its revenue rose 29% year over year to $83.4 billion from $64.7 billion, while analysts were looking for $85.1 billion. Meanwhile, earnings rose 70% from $12.7 billion or 73 cents a share, to $20.6 billion or $1.24 per share, and matched analysts’ expectations.
Apple attributed its slower-than-expected growth to supply chain constraints. “Demand was very robust,” CEO Tim Cook said on its earnings call, but he estimated that supply constraints had a $6 billion negative impact on revenue, citing “industry-wide silicon shortages and Covid-related manufacturing disruptions.”
The company expects those constraints to have an even bigger impact on its first quarter sales, CFO Luca Maestri said, although Apple still anticipates that it will set a revenue record during the quarter.
With the challenges in mind, should investors be concerned about Apple’s growth prospects? We delve into Apple’s latest earnings to find out more....