Apple (AAPL) will report fourth quarter earnings this afternoon at 16:30. The conference call is scheduled or 17:00.

Capital IQ consensus calls for Q4 EPS up 34% to $2.78 with revenue up 17% to $61.55 billion. The company guided for revenue of $60-62 billion and gross margins of 38.0-38.5% (consensus was $59.4 billion and 38.3% at the time).

Most of the focus will be on fiscal first quarter guidance for the holiday period after the company recently refreshed nearly its entire product lineup. 

The Street is expecting Q4 iPhone shipments +2.8% to 48.0 million. Apple does not break down iPhone sales by model, but Apple has been able to grow APs to offset the flat/saturated smartphone market. iPhone ASP is expected to grow ~18% to ~$730


With a $1.05 trillion market cap, AAPL trades 18.5x EPS or 15.8x FY19 estimates

Suppliers to keep on radar include: SWKS, CRUS, AVGO, FNSR, QRVO, QCOM, LITE, FNSR (SMH)

Based on the weekly AAPL Nov02 $217.5 straddle, the options market is currently pricing in a move of ~5% in either direction by weekly expiration (Friday)

On a positive report, look for resistance near the $223-224 area then the 227-229 range, while support sits near $207.