Ed Ludlow

You know, in the context of Apple, which we're going to discuss with an analyst in a moment, the consideration there is tight supply of memory chips.

But just so far in aggregate from the Mag7 and other companies have reported, what is your main takeaway, please?

Margaret Patel of All Spring Global Investments back on Bloomberg Tech.

Thank you very much.

We talked about earnings.

We've got to talk about Apple.

Shares down a percentage point.

Look, they've been higher in after hours after the print and during the call.

They kind of chopped around.

One point in today's session were higher, now lower.

The company delivered record quarterly sales and a better than anticipated forecast.

But...

The looming threat of rising memory prices is worrying investors.

CEO Tim Cook saying he expects, quote, more of an impact to gross margins and continues to see memory prices rising significantly, particularly in this current period, fiscal second quarter.

Richard Kramer, a Reddit research founder and senior analyst, joins us.

Now, you still have a buy and a $305 price target on this name.

You know, we've said throughout my career, at least, Apple is the master of managing the bottom line.

But in this environment with tight supply and pricing of memory chips such as it is, there's a limit, it seems, to what Apple can do.

What was your interpretation of that?

So I think this fixation on memory costs is the wrong question for Apple because it just goes back to your basic economics theory of comparative advantage.