Apple Inc. is perhaps the largest company in the world right now, beating the likes of many telecom giants and even petroleum companies in the process. What once started in a garage in Palo Alto has now become the largest tech conglomerate in the world. It has not been an easy path for Apple, the company has been through a series of trial and tribulations and has come close to bankrupting many times. But with the perseverance of their leader, they managed to reach a point where their market capitalization crossed a trillion dollars, becoming the first public company to do so.
Their success comes with their dominance in the smartphone and mobile computing industry. For years they have been making some of the best products and devices in the market. Their dedication to quality and providing a smooth experience is what really makes their product popular in markets around the world. As a public company, their shares have rarely seen a pitfall and it is in the watch list of every single investor or stockbroker in the world.
As we approach the Earnings Apple date, we are sure to see a whole lot of action when it comes to Apple stocks. During the earnings time period, the volume of stock trades multiplies, at least 6-7 times of what the regular day trading consists of. Let us take an in-depth look at what the earnings calendar predicates and what should you do about it.
Apple Earnings calendar:
The expected earnings date is around Nov 1st and if you are planning on selling or acquiring the stocks, you should start planning it immediately. The predictions are accurate from three weeks out so set in motion a set of events, which would you put in the best spot to trade for Apple stocks. There is a number which governs the markets for stock trade, come earnings date; this number is called the PMAEA or the “% predicted move after earnings announcement”. The calculated number is around 4% either direction.
How do analysts come up with this number?
The answer is actually very complicated, but analysts look at previous earnings date movement, take into account the performance of the company and its stock, also any perceived future changes, and if the core values of the company have shifted little. All of these factors help arrive at a conclusive number, one which can be very accurate when it comes to predicting the movement of the stocks. The double of this number, which is 8% would be your strike price, this number indicates that the stock has either risen too high or dropped too low and you need to purchase it almost immediately.
All of these numbers and figures are a very short-term strategy based and is meant to give you immediate returns. But volatility is a big factor and one can never know which way stock might swing. Investing in Apple Inc. seems like a straightforward option, as it is the largest conglomerate in the world and shows virtually no signs of stopping.