Despite its supply constraints, Apple has been optimistic about its financial situation so far in 2022, according to GlobalData. Analysis by the leading data and analytics company’s Filing Analytics database reveals that Apple’s earnings transcript sentiment—which shows how negatively or positively the company discusses parts of its business—rose by 7%** in Q1 2022, compared to Q4 2021—taking it from a ‘medium’ sentiment to ‘high’ sentiment.
Rinaldo Pereira, Business Fundamentals Analyst at GlobalData, comments: “High sentiment showcases more positivity (keywords and sentences) on Apple’s call. Q1 2022 saw Apple’s highest sentiment peak since Q4 2018, and only the second time you could describe the company’s sentiments as being anywhere near ‘high’. Comparing this sentiment data with GlobalData’s mentions analysis—which analyses the frequency of key words—reveals that the positivity cantered around promising iPhone and Macbook sales, as well as keywords ‘revenue record’, which is referring to revenue being at an all-time high.”
Anisha Bhatia, Tech Analyst at GlobalData, comments: “Not only did the highly successful iPhone 11 launch in September 2019, featuring Apple’s A12 Bionic chip, but Apple released its first 5G iPhone in October 2020, which set off an iPhone supercycle that is still ongoing. The Apple hype was boosted yet again in November 2020, with the unveiling of the first Macs built around the Apple M1 processor, and 2022 is looking to be just as kind to the company—with the upcoming launch of its first mid-range 5G iPhone SE in March 2022.”
Pereira, continues: “As usual, Apple is the king of innovation. With hype building towards the company’s Spring event, there is a sense of anticipation towards new products—be it a low-cost iPhone, iPad, or AirPods. The company commented on an improving supply chain despite being plagued in the iPad segment by constraints. As Apple sets it sights on achieving another record March quarter, it is likely to focus more on iPhone sales over the iPad due to the supply crunch. The Company Filing Analytics platform makes this evident with the iPhone having 29 mentions versus iPad’s 14.”
One quarter of interest is Q2 2020, which saw a huge 14% drop in Apple’s sentiments, followed by a sharp 15% rise again in Q3.
Pereira notes: “A sudden drop and rise in sentiments like this is unprecedented—yet, then again, Q2 2020 was an unprecedented time. Apple’s sentiments were impacted by the uncertain COVID-19 outlook then and have since been more or less in the high range indicating its resilience to overcome revenue slumps via strategic launches and innovation.”
