
Jim Cramer Expects 'Not Great' Earnings From Apple
The stock market is heading into a busy week of earnings season and all eyes will be on Apple (AAPL) - Get Report , which is scheduled to report earnings after the close Tuesday.
"I expect a not-great number," TheStreet's Jim Cramer, co-manager of the Action Alerts PLUS portfolio, said from the floor of the New York Stock Exchange.
Cramer says he stock has too many buy ratings from the analysts. Until those analysts turn less bullish, the stock will have a hard time bottoming. That's why Cramer's looking for analysts with "soft buys" to downgrade the stock.
Shares of Apple are up from the low just below $90, putting investors in a tough spot ahead of earnings, especially when he doesn't expect the results to be all that good.
Perhaps Apple's services revenue will help to cover up some of the company's shortfalls. But hardware alone, such as Mac and iPad sales, along with the Apple Watch are unlikely to push Apple over the top.
Unfortunately, it will boil down to iPhone sales, Cramer reasoned. But with a new iPhone expected in just a few months, there's a "gap" now where customers are holding out for the new devices. As a result, the company isn't likely to impress on Tuesday.
At the time of publication, Cramer's Action Alerts PLUS had a position in AAPL.










