Apple just delivered better than expected FY3Q (June) results with a generally inline iPhone shipment number of 41.3 million which will be relief to those on the Street fearing a miss this quarter. Total revenues of $53.3 billion handily beat the Street’s estimate of $52.3 billion while EPS of $2.34 came in above the Street’s $2.16 estimate. iPhone ASPs were robust in the quarter coming in at $724 vs. the Street at $693 and continues to be major top-line catalyst for Cook & Co. heading into FY19 along with services which beat again and remains a linchpin of growth looking ahead. This quarter took a back seat to the main event as the drumroll around September guidance and tea leaves heading into FY19 is front and center for the Street with a major product cycle on the horizon. To this point, the “star of the show” was better than expected FY4Q/September guidance which will be the focus of investors digesting results and a clear feather in the cap for the bulls. Apple is guiding to September total revenues between $60 billion and $62 billion vs. the Street’s estimate of $59.5 billion. Gross margins were in-line with the Street at 38%-38.5%. In a nutshell, the Street is all focused on the demand trajectory for the September quarter and most importantly into 2019 with the trifecta of next generation iPhones on the horizon and the Street modeling iPhone shipments of roughly 220 million units, which could ultimately prove to be conservative in our opinion given the underlying demand drivers and the company’s initial guidance for the September quarter. We believe 350 million iPhones are in the “window of opportunity” to upgrade over the next 12 to 18 months with Apple needing to capture a majority of these units as part of this upgrade cycle to make a clearly successful iPhone product cycle in 2019 and lay the groundwork for future services/software growth and steady iPhone demand over the coming years. In a nutshell, after the heartburn seen from the earnings disappointments across tech bellwethers such as Facebook and Netflix over the last few weeks, Apple gave the Street and tech investors finally some good news with a clean June headline beat and stronger than expected outlook for the September quarter which is a positive data point for the iPhone product cycle demand heading into FY19. We maintain our Highly Attractive rating and $200 price target.