Apple Inc. (NASDAQ:AAPL) shares are in the spotlight Thursday ahead of the company’s first-quarter earnings report today after the market closes.
Apple’s Earnings: AI Strategy and iPhone Sales in Focus
Apple heads into its earnings report today after the market closes facing a clear prove-it moment, as investors focus on whether the company's expanding AI initiatives and iPhone demand can translate into meaningful financial growth. Analysts are projecting revenue of $138.42 billion and earnings per share of $2.67, but expectations extend beyond simply beating forecasts, with attention on whether Apple's innovation pipeline is supporting sustained profitability in a competitive landscape. Shares are currently trading around $257, well below the $295 consensus analyst price target, highlighting skepticism the company may look to address with this report.
Apple has beaten earnings estimates in each of the past twelve quarters. In the most recent quarter reported on Oct. 30, the company delivered earnings per share of $1.85, topping estimates of $1.77, while revenue of $102.47 billion slightly exceeded expectations of $102.17 billion. Investors will be watching to see whether Apple can extend that streak in the upcoming release.
Focus will also be on iPhone sales performance, which remains central to Apple's revenue base, along with continued growth in services, a key driver of margins and recurring revenue. Updates on the rollout and adoption of Apple's AI initiatives may also draw attention, as they play an increasingly important role in shaping the company's long-term competitive position.
Apple Shares Trade Flat
AAPL Price Action: At the time of writing, Apple shares are trading 0.51% higher at $257.76, according to data from Benzinga Pro.
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