Apple's Latest Tech Is a Drop in the Revenue Bucket

Apple's (AAPL) new "Vision Pro" headset is officially available for preorder... This is the tech giant's newest sci-fi product. Here's how Apple described it in a press release last year... [Chaikin PowerFeed]( Apple's Latest Tech Is a Drop in the Revenue Bucket By Vic Lederman, editorial director, Chaikin Analytics Apple's (AAPL) new "Vision Pro" headset is officially available for preorder... This is the tech giant's newest sci-fi product. Here's how Apple described it in a press release last year... Vision Pro creates an infinite canvas for apps that scales beyond the boundaries of a traditional display and introduces a fully three-dimensional user interface controlled by the most natural and intuitive inputs possible – a user's eyes, hands, and voice... The breakthrough design of Vision Pro features an ultra-high-resolution display system that packs 23 million pixels across two displays, and custom Apple silicon in a unique dual-chip design to ensure every experience feels like it's taking place in front of the user's eyes in real time. And here's what it looks like... [Chaikin PowerFeed] Sounds exciting, right? But as tech enthusiasts already know, the rollout faces a bumpy start. The first hurdle is the steep price tag. It costs a whopping $3,500. That price doesn't include the case... an extra $200. And if you wear glasses... be prepared to shell out up to another $150 for custom lenses for it. Put simply, this is no iPod portable media player. It's not a mass-market device. Instead, the Vision Pro is a high-end toy on the leading edge of consumer tech. But that's creating other problems for Apple... Multiple companies have already made it clear that they want nothing to do with it. In fact, the headset won't even have a Netflix app. And it won't have a native YouTube app, either. That might sound like it's driven by tech-company rivalry. But it's really about the numbers. Today, let's take a closer look at those numbers. As I'll explain, the Vison Pro is a drop in Apple's revenue bucket... Recommended Links: ["This is How I'd Invest $1 Million"]( "This is how I'd invest $1 million right now," says legendary investor Whitney Tilson. He's posting a new portfolio of stock picks for 2024. He isn't buying the Magnificent 7... Or putting an equal amount of cash into each. Instead, he's using the Monte Carlo Method to see which of 4,817 stocks could double your money. [Click here for the full details](. ['I Found the Answer to Retirement']( A Stansberry Research subscriber from New York came forward with his unique story of how he retired early and worry-free WITHOUT stocks... thanks to ONE single idea that anyone can use. Now he sees 16%-plus annual returns with legal protections... and he NEVER has to worry about another market crash again. [Get the full story right here](. Folks, there's a lot of media buzz about this new headset right now. But the numbers tell a different story. The full launch is tomorrow, and Apple has reportedly sold around 200,000 headsets already. That might sound like a lot. But in the context of Apple's other products, it's tiny. You see, at the lowest cart value, that translates into roughly $700 million. But let's be generous and round that up to $1 billion, since many buyers are likely purchasing the extra accessories. Once again, that number sounds big at first. But remember that we're talking about the world's most valuable consumer electronics company here. Take a look at the numbers from Apple's most recent quarterly revenue report... [Chaikin PowerFeed] Even if we generously round up the Vision Pro figure to $1 billion, it's simply a drop in the nearly $89.5 billion quarterly revenue bucket. If Apple included it in this recent report, it would account for about 1% of the revenue breakdown. Obviously, the company is just getting started with the Vision Pro. And a potential $1 billion in preorders is no joke. But in the context of Apple, it's still small stuff. The market sees that too... Looking at the Power Gauge, Apple earns a "neutral" rating. That means our system sees Apple as a strong company that's struggling to trade above its long-term trend. We can also see in the Power Gauge that Apple has struggled to outperform the S&P 500 Index since early August. (In the chart below, that's the panel right below the price line section.) That makes sense, considering Apple's stock has mostly traded sideways since about that same time. Take a look... [Chaikin PowerFeed] Coming back to the Vision Pro headset, it is an exciting piece of consumer tech. But it's very expensive. And it's not a mass-market smash hit... at least not yet. And considering Apple's "neutral" rating in the Power Gauge, we'll have to wait and see if this new device will be enough to help move the needle for the company into stronger territory. Good investing, Vic Lederman Market View Major Indexes and Notable Sectors # Hld: Bullish Neutral Bearish Dow 30 -0.81% 15 14 1 S&P 500 -1.63% 161 249 88 Nasdaq -1.96% 42 47 11 Small Caps -2.49% 630 942 349 Bonds +0.98% — According to the Chaikin Power Bar, Small Cap stocks and Large Cap stocks are somewhat Bullish. Major indexes are mixed. * * * * Sector Tracker Sector movement over the last 5 days Utilities +2.5% Energy +1.98% Staples +1.86% Health Care +1.22% Financial +1.15% Materials +0.72% Industrials +0.32% Real Estate -0.03% Communication -0.41% Discretionary -1.23% Information Technology -2.79% * * * * Industry Focus Bank Services 64 26 1 Over the past 6 months, the Bank subsector (KBE) has outperformed the S&P 500 by +4.23%. Its Power Bar ratio, which measures future potential, is Very Strong, with more Bullish than Bearish stocks. It is currently ranked #4 of 21 subsectors and has moved up 3 slots over the past week. Top Stocks [rating] BPOP Popular, Inc. [rating] FHN First Horizon Corpor [rating] BK The Bank of New York * * * * Top Movers Gainers [rating] PARA +6.65% [rating] EW +6.18% [rating] SYK +5.95% [rating] COR +5.51% [rating] BA +5.29% Losers [rating] MKTX -17.8% [rating] ROK -17.56% [rating] TER -7.65% [rating] GOOGL -7.5% [rating] APTV -6.22% * * * * Earnings Report Reporting Today Rating Before Open After Close CAH, PYPL, MRK, PH HIG, HII, META, VRTX WRK, BALL, TT, TSCO, SWK, RVTY, LYB, ITW, IP, HON, ETN, DOV, CMS, BR AAPL, CLX, EMN, GEN, HOLX, MCHP, PFE BDX, WEC, DGX, TECH, MO CPT No earnings reporting today. Earnings Surprises [rating] CTVA Corteva, Inc. Q4 $0.15 Beat by $0.09 [rating] BA The Boeing Company Q4 $-0.47 Beat by $0.32 [rating] PSX Phillips 66 Q4 $3.09 Beat by $0.71 [rating] ROK Rockwell Automation, Inc. Q1 $2.04 Missed by $-0.59 [rating] HES Hess Corporation Q4 $1.63 Beat by $0.24 * * * * You have received this e-mail as part of your subscription to PowerFeed. If you no longer want to receive e-mails from PowerFeed, [click here](. You’re receiving this e-mail at {EMAIL}. For questions about your account or to speak with customer service, call [+1 (877) 697-6783 (U.S.)](tel:18776976783), 9 a.m. - 5 p.m. Eastern time or e-mail info@chaikinanalytics.com. Please note: The law prohibits us from giving personalized investment advice. © 2024 Chaikin Analytics, LLC. All rights reserved. Any reproduction, copying, or redistribution, in whole or in part, is prohibited without written permission from Chaikin Analytics, LLC. 201 King Of Prussia Rd., Suite 650, Radnor, PA 19087. [www.chaikinanalytics.com.]( Any brokers mentioned constitute a partial list of available brokers and is for your information only. Chaikin Analytics, LLC, does not recommend or endorse any brokers, dealers, or investment advisors. Chaikin Analytics forbids its writers from having a financial interest in any security they recommend to our subscribers. All employees of Chaikin Analytics, LLC (and affiliated companies) must wait 24 hours after an investment recommendation is published online – or 72 hours after a direct mail publication is sent – before acting on that recommendation. This work is based on SEC filings, current events, interviews, corporate press releases, and what we've learned as financial journalists. It may contain errors, and you shouldn't make any investment decision based solely on what you read here. It's your money and your responsibility.