Apple's stock traded higher after hours on better-than-expected quarterly earnings results, but long-term risks for the company remain, BGC Financials Director of Research Colin Gillis said Monday.
Earnings per share came in at $1.42 on revenue of $42.1 billion, easily beating Wall Street forecasts. The company also gave sales guidance for the current quarter of $63.5 billion to $66.5 billion, at the high end of analysts' estimates.
"(Apple) Pay is a nice service product. You're going to make 14 cents on every $100 purchased. So, that's going to take a long time to ramp up, but we like the annuity component to it. (Apple) Watch is a gigantic question mark," Gillis said.
On CNBC's "Fast Money," Gillis also pointed out a 14 percent decline in revenue from iPad sales.