Daily Investment Tips

I was reading CNET and they had an article that analysed the amount of money Apple Inc makes on each Iphone. The analysis was by T. Michael Walkley of investment firm Canaccord Genuity.

Apple sees a gross margin of 50 percent and operating margins of around 30 percent on its iPhone. That’s within an industry where most handset makers struggle to turn a profit, or reach operating margins of even 10 percent.

As a result, he said, Apple took home 39 percent of the mobile phone industry’s overall profits by selling around 17 million iPhones during the first half of 2010.From CNET article

Apple Analyst Revenue forecast for 2011 to 2012

Walkley is forecasting sales of $63 billion for Apple in fiscal 2010, $82 billion in 2011, and $93 billion in 2012. That compares with $42 billion in 2009.

written by Constantine Njeru \\ tags: Amount Of Money, Cnet, Gross Margin, Handset Makers, Investment Firm, Iphone, Iphones, Michael Apple, Mobile Phone Industry, Operating Margins, Profit Margins, Profits, Walkley

According to Google finance BP stock analysis, BP had an operating margin of 10.74% in 2009. In 2010 BP operating margin was 12.91%.

BP Net profit margin for the same period was 6.81% in 2009 and 8.32% in 2010.

BP itself admits, It is hard to predict BP operating margins because they are affected by

1. Seasonal demand patterns
2. The ever changing price of oil.
3. Geo politics

written by Constantine Njeru \\ tags: Bp, Demand Patterns, Finance, Google, Net Profit, Operating Margin, Operating Margins, Price Of Oil, Profit Margin, Seasonal Demand, Stock Analysis