Overview
- Apple posted roughly 8% September‑quarter revenue growth with iPhone up 6% and a 47.2% gross margin despite $1.1 billion in tariffs, and guided December‑quarter revenue up 10%–12% with gross margin near 47%–48% and Services growth around 14%.
- Jefferies shifted to Hold from Underperform and raised its price target to $246.99, while UBS lifted its target to $280 and maintained a Neutral rating after the earnings report.
- Shares notched new intraday highs in five straight sessions and are up about 64% since April, though technicians highlight resistance near $260 and valuation near 33 times forward earnings.
- Jefferies’ model assumes a $100 iPhone 18 price increase to offset component costs, a move it says could limit unit growth and weigh on margins as operating expenses are projected to rise about 18.5%.
- On Monday the stock slipped roughly 1% to around $267 after a Bloomberg report said Apple is paying Google to build a Gemini‑based cloud model to bolster Siri, a reportedly unacknowledged arrangement that also sits alongside tariff and regulatory risks cited for 2026.