Apples falling iPhone sales dont bother Wall Street so long as margins, buybacks are increasing
Summary
But investors didnt seem to mind on Thursday, when Apple revealed the year-over-year drop in its fiscal second-quarter earnings report. Apples gross margin expanded to 46.6%, continuing an upward trajectory that reflects the companys growing services business, which brings with it stout profits. The after-hours jump shows how much investors are valuing Apples massive cash flow and the companys willingness to return more of it to shareholders. Apple revealed earlier this year that it has 2.2 billion active devices, illustrating the mammoth reach of its customer base as the company rolls out new subscription services. As of the end of 2023, Apple had spent $658 billion on buybacks over the past 10 years, far ahead of second-place Microsoft, according to S&P Dow Jones Indices.