In what might be one of Apple’s most anticipated earnings (and guidance) in a long time the company reported March results after the bell. As expected the company delivered total revenues of $61.1 billion which was within guidance of $60 billion to $62 billion. Gross margins were also in line with the Street with EPS coming in at $2.73 vs. the Street at $2.67. iPhone units shipped in the quarter were 52 million vs. Street expectations of 52 million as iPhone X demand softness limited any upside surprise on this all-important front. Heading into Apple’s much anticipated March quarter tonight the Street has gone into “full panic mode” as supply chain checks out of Asia indicate that June iPhone shipments are trending well below expectations, neutralizing any positive data points (higher ASP front and center) from a generally in line March quarter. That said, the company guided to total revenues for the June quarter of between $51.5 billion to $53.5 billion vs. the Street at $51.5 billion and whisper numbers trending below $50 billion over the past week. This guidance number was much better than feared and will be a “major relief” for the stock as the trough June quarter shows core demand, ASPs, and momentum heading into the September quarter and new iPhone product cycle are alive and well despite disappointing iPhone X demand. In addition the company announced an additional $100 billion stock buyback program (and will finish its existing $210 billion plan) on the heels of repatriation tailwinds, which was within Street expectations and will be music to the ears of the bulls digesting results along with a 16% hike to the dividend. While the Street (and the stock) have been reflecting soft June guidance, the big question now is what will the demand picture look like post June with a much anticipated three pronged smartphone product cycle around the corner and will this finally be the product catalyst to turn things in the right direction for Cook & Co. To this point, we continue to believe the Apple iPhone upgrade story for 2018/2019 is still intact and it’s time to take a deep breath as despite soft demand spots from the iPhone X coming out of China and the US over the last few months, the product cycle thesis out of Cupertino is delayed/elongated rather than gone forever in our opinion, which is supported by the company’s underlying metrics and June guidance front and center. We estimate Apple has roughly 350 million iPhones that are in the window of opportunity to upgrade over the next 12 to 18 months, now it’s about which model and price point “strike a chord” for these customers to ultimately upgrade as the iPhone X demand has softened materially since reaching a supply/balance level in late December. To this point, we still expect three new iPhone releases (5.8 inch to 6.5 inch OLED designs with an LCD model) staggered over the next 6-9 months to hit the market that will help capture the underlying demand/upgrades among customers that have decided to bypass the 8/8+/X cycle this time around, with price points and features that catalyze fence sitting iPhone customers onto their next smartphone during the course of 2H2018/1H2019. We maintain our Highly Attractive rating and $200 price target.