What Analysts Think of Apple Stock Ahead of Earnings

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Key Takeaways

  • Apple is group to study fiscal first-quarter results aft nan closing doorbell Thursday.
  • Most analysts tracked by Visible Alpha person a "buy" aliases balanced standing for nan iPhone maker's stock, pinch their statement value target implying astir 7% upside from Monday's closing price.
  • The company's banal has had a reliable commencement to 2025, successful portion owed to concerns astir declining smartphone income successful China.

Apple (AAPL) is group to study fiscal first-quarter results aft nan closing doorbell Thursday, pinch analysts watching for signs nan iPhone maker’s banal tin retrieve from a reliable commencement to 2025.

Of nan 16 analysts covering nan banal tracked by Visible Alpha, 10 person issued “buy” aliases balanced ratings, pinch 4 giving nan banal a “hold” rating, and 2 giving it “sell” ratings. Their statement value target adjacent $246 would propose astir 7% upside from Monday’s closing price.

Apple is projected to study fiscal first-quarter gross of $124.39 billion, up 4% year-over-year, pinch iPhone gross increasing 2% to $70.72 billion. Earnings are expected to climb to $35.63 billion, aliases $2.35 per share, up from $33.92 billion, aliases $2.18 per stock a twelvemonth ago.

China Competition and Apple Intelligence Rollout Raise Concerns

Apple's banal value has fallen astir 8% since nan commencement of nan year, acknowledgment successful portion to concerns astir falling smartphone shipments successful China. Domestic rivals Vivo and Huawei person expanded their marketplace share, according to investigation patient Canalys, peculiarly arsenic iPhones sold successful China aren’t equipped pinch Apple Intelligence features owed to regulatory hurdles.

JPMorgan analysts sounded nan siren complete nan company's capacity successful nan state earlier this month, informing Apple is “already past its merchandise rhythm peak” and could proceed to suffer market share successful nan country. The patient trim its value target to $260 from $265.

Wedbush, which holds a $325 value target for Apple, suggested location could beryllium clip for a turnaround successful China, particularly if nan institution announces an AI partner successful nan region successful nan coming months. The analysts said nan astir for illustration script would beryllium a business pinch Baidu (BIDU), nan ascendant net hunt motor institution successful China, pinch ByteDance and Tencent arsenic different possibilities.

Apple Stands Out Amid DeepSeek-Driven Selloff Monday

While a slew of AI-related stocks tumbled Monday connected worries astir nan surging fame of AI devices from Chinese startup DeepSeek and what it could mean for U.S. rivals, Apple was 1 of nan few Big Tech stocks successful nan green. That could beryllium owed to Apple's little AI expenditures comparative to its mega-cap peers for illustration Meta (META) and Microsoft (MSFT). The comparative ratio of DeepSeek’s models besides gave measurement to speculation Apple's AI trajectory could beryllium little challenging and costly than antecedently anticipated.

Apple released a package update connected Monday arsenic well, that enables Apple Intelligence features connected iPhone, iPad and Mac devices by default for users pinch supported devices. The move marks a cardinal measurement successful Apple's rollout of AI features.

Shares of Apple roseate 3.2% to $229.86 Monday, and person gained astir 20% complete nan past 12 months.

Source investopedia
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