- Ring The Bell
- Posts
- 🍎 Apple Of Our Eye
🍎 Apple Of Our Eye
$AAPL comes through with strong earnings and a stronger buy back. Plus, does the 'Sell in May' strategy hold up?
Brooks Dyroff
May 02, 2024
Happy Thursday, Zingernation! Most of the time you read a “Florida Man” headline, it’s about wrestling an alligator while holding a beer to retrieve a hot dog. But this time, Florida Man’s just looking for a new state.
–Aaron Bry and Nic Chahine
Today’s Price Action:
$SPY: +0.94%
$QQQ: +1.28%
$DIA: +.88%
Plus, discover the Microsoft partner with an AI-powered plan to fix online education.
And, did someone forward you this email? Click here to subscribe to this Benzinga newsletter and more.
TODAY’S MOST VOLATILE STOCKS
TODAY’S TOP STORY
Briefly: Apple reported second-quarter results that outperformed muted goals. Here’s what to know.
So Basically: The company announced a $110-billion stock buyback program and a one-penny-per-share increase in its quarterly dividend. Apple’s board declared a quarterly cash dividend of 25 cents per share, payable on May 16 to shareholders of record as of May 13.
So Then: Apple reported a year-over-year revenue decline after it snapped a four-quarter-long streak of falling revenue in the December quarter. Apple’s second-quarter earnings per share also fell from one year ago.
So What? Commenting on the results, CFO Luca Maestri said, “Thanks to very high levels of customer satisfaction and loyalty, our active installed base of devices has reached a new all-time high.” Shares of the underperforming big tech stock rose about 3.5% following the earnings announcement.
What Next: Citing confidence in Apple's future and the value the company sees in the stock, the company said its board has authorized an additional $110 billion for share repurchases.
Click here to read more.
PRESENTED BY AMESITE
The pandemic exposed major shortcomings in online education, resulting in lower, and quite frankly, embarrassing learning outcomes…
Math, reading, and history scores declined significantly. By spring 2022, students were behind by half a year in math and a third of a year in reading.
With the U.S. market projected to surpass $250B by 2028, companies able to improve learning outcomes and forge strategic partnerships are poised to disrupt this lucrative industry.
One company specifically is offering an AI-driven learning ecosystem with 24/7 support, fresh content, and customizable programs, ideal for colleges and universities seeking quick deployment.
Plus, the company partnered with Microsoft.
FIVE MOVERS
Hershey shares traded higher today as investors took out bullish positions on the company ahead of its earnings report tomorrow.
Cloudflare shares dropped heavily in after-hours trading after the tech company reported worse-than-expected earnings and weak guidance.
DraftKings reported strong earnings and raised revenue and EBITDA guidance, sending the stock higher.
Curaleaf closed up around 10% today as investors rushed to buy cannabis companies after yesterday’s sell off.
Booking.com shares moved higher after the close today as the travel company reported strong earnings, showing strong travel demand.
ONE TRADE IDEA FOR TOMORROW
Briefly: As we enter May, the old Wall Street adage “sell in May and go away” is understandably front of mind. But does the strategy hold water?
Back Up: The strategy suggests the stock market tends to underperform from May through October compared to the November through April period.
But Wait: A deeper dive into historical data and market trends suggests the trade may not always be the wisest course of action.
Expert Take: LPL Financials strategist George Smith highlights that since 1950, the May-October period has been the weakest six-month cycle in the stock market.
But Still: Smith added an important caveat: “Unless investors can seek superior returns in other asset classes, being out of the equity market may not have been the best strategy.”
Click here to read what other analysts are saying.
PRESENTED BY AMESITE
The pandemic exposed major shortcomings in online education, resulting in lower, and quite frankly, embarrassing learning outcomes…
Math, reading, and history scores declined significantly. By spring 2022, students were behind by half a year in math and a third of a year in reading.
With the U.S. market projected to surpass $250B by 2028, companies able to improve learning outcomes and forge strategic partnerships are poised to disrupt this lucrative industry.
One company specifically is offering an AI-driven learning ecosystem with 24/7 support, fresh content, and customizable programs, ideal for colleges and universities seeking quick deployment.
Plus, the company partnered with Microsoft.