This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

On Wall Street, Apple Makes for Some Disbelievers

What effect the transition announcement will have on Mac sales "is a difficult question to answer," said Cook. "We have only limited data at this point."

Indeed, the data from the just-completed quarter was largely positive for the company from the Mac standpoint. Unit sales of Apple's PowerMac, iMac and other desktop lines grew 65% over the same quarter last year to 687,000. Meanwhile, revenue from those sales grew 49% over the same time period to $845 million.

Sales of the company's portable computers grew at a much slower pace, rising just 3% to $720 million year over year. Still, the 495,000 notebook computers the company shipped in the quarter represented a new quarterly record, company officials said.

The robust overall performance of Apple's computer sales likely will be cheered by investors. Many have been hoping the popularity of Apple's iPod sales would help draw in new customers to the company's Macintosh computers. That seems to be happening. In the just-completed quarter, Apple's computer sales grew three times faster than the broader PC market, company officials said, marking the third straight quarter that Apple seems to have gained market share.

In addition to the pickup in desktop demand, Apple's results were driven by strong sales of iPod digital music players. iPod sales grew 343% year over year to $1.1 billion. Unit sales of iPods more than septupled to 6.2 million units. Even on a sequential basis, the sales appeared strong, with unit sales up 16% from the second quarter and dollar sales up 9%.

The iPod results came in better than the expectations of some analysts and ran counter to some indications within the industry. Both SigmaTel (SGTL) and Creative Technologies (CREAF) recently warned that their quarterly revenue would come in below expectations thanks to lower-than-expected consumer demand for MP3 players.

3 of 4

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs