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Apple CEO Tim Cook had a lot to talk about on his last earnings call as CEO, as his company's stock price trended lower on concerns about supply constraints. Regardless of the selloff, he told investors that Apple has "enormous opportunities" in artificial intelligence.

Cook, who will be assuming the role of executive chairman on Sept. 1, said Apple's hybrid approach to AI, where some workloads can be run on iPhones and Macs is an advantage as his large tech peers rely on their massive clouds.

It's an important signal to Wall Street about the company's ability to run AI apps as Apple gears up for the launch of an updated Siri this fall.

"The ability to run some percentage of requests on device is also very strategic and sort of a competitive weapon," Cook said.

Apple has bucked its hyperscaler peers by spending significantly less on capital expenditures as it tries to be a player in AI. Most of the spending across the industry is going towards Nvidia-based data centers to run advanced AI models from companies like OpenAI and Anthropic.

Alphabet, Amazon, Meta and Microsoft have each committed to shelling out well over $100 billion in capex this year. In the June quarter, Apple's capex amounted to $2.46 billion, lower than a StreetAccount estimate of $3.44 billion. Cook noted that operating expenses are going up.

"We have been growing our opex and spending more in AI in general," Cook said.

Instead of spending heavily on data centers, Apple emphasizes that much of its AI suite — Apple Intelligence — can be run on the devices themselves, using the full power of Apple's chips and not radioing to the cloud.

Apple says it can do more in AI, potentially saving money for businesses that are spending heavily on AI software. He gave the example of Disney, where "creative teams are increasingly turning to Mac for on-device AI workflows that reduce overall cloud token costs and keep their IP secure," Cook said.

Apple's hybrid strategy will be tested when Siri AI is finally released to the public. The highly anticipated launch of Apple's personal assistant will depend on the iPhone's processor to decipher queries and use the appropriate on-device AI model.

However, there are tradeoffs in terms of what the local models can do. So for complicated AI tasks, Apple will use Google Cloud to serve those answers with infrastructure based on Nvidia's graphics processing units and Intel's central processors. Those tasks include things like image generation, Apple said in June, when it revealed the software.

Apple signaled at the time that it would cap users on its cloud models and that they might be able to increase their limits through iCloud. That would offer Apple a new way to monetize AI.

Cook said on Thursday that Apple didn't have a "complete plan" for charging users, but that it aims to use AI as a selling point for iCloud subscriptions.

"We do believe there will be people that want to use it a lot, and so we will have some kind of upgrade possibilities on on iCloud+," Cook said.

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Apple says it has now topped 1.5 billion subscribers for its services business, up from 1 billion in January 2025. However, this segment of Apple’s business, which includes the Apple Store, AppleCare, music, video, and cloud services, was the only miss in what was otherwise a record-breaking quarter for the company’s hardware sales.

In Apple’s fiscal third quarter, the company reported $30.74 billion in services revenue, falling short of the $31.22 billion Wall Street analysts had expected. Combined with a miss in China, Apple’s stock tumbled over 4% in after-hours trading.

When asked to dive into what led to the decline in services revenue, Apple CFO Kevan Parekh pointed to several factors. Most notable, however, were the impacts on Apple’s cash cow, the App Store.

One factor contributing to the App Store’s performance in the quarter was a slowdown in mobile gaming. It also called out the App Store business model changes in certain countries, including the U.S.

The latter is a reference to Apple being under a court order that requires it to now allow app developers to process customer payments outside the App Store — and outside the reach of Apple’s commission. While Apple didn’t say to what extent this specific issue had impacted App Store revenue, it did remind investors that the matter will be heard by the Supreme Court for a final decision.

The company didn’t fully blame App Store issues for the services revenue miss. Other factors included foreign exchange, which Apple claimed was the main driver, as well as a comparison to prior quarters where Apple was raking in money from the success of its “F1” theatrical release.

Overall, the App Store still set a June quarter revenue record, Apple noted, but that total figure also includes revenue from Apple Ads, which have become a more significant part of Apple’s business, and recently expanded to Apple Maps.

Despite these issues — and other “headwinds” attributed to foreign exchange rates — Apple touted the potential for growing its services business in the future.

It noted the segment set an all-time revenue record in developed markets and a June quarter record in emerging markets. It also said the total services business saw double-digit revenue in the “vast majority” of markets Apple tracks.

“Our services continue to attract more customers, and we have now surpassed one and a half billion in paid subscriptions. Both transacting and paid accounts reached new all-time highs in the quarter, with double-digit growth for both in emerging markets,” said Parekh.

The company also shared that specific segments were doing particularly well, including Apple Ads, App Store, AppleCare, Apple Music, and Apple TV, which saw June quarter records, as well as cloud and payment services, which hit all-time highs. Apple TV additionally saw its viewership reach an all-time high in the quarter.

Apple also reminded investors of potential new services revenue streams, including the newer Creator Studio subscriptions and the upcoming bill-splitting features in Apple Cash, which could deepen customers’ engagement with Apple’s payments ecosystem.

This week’s launch of the Apple Upgrade program, in partnership with Klarna, could drive other increases in services revenue too, especially if it drives more people to buy an iPhone or other Apple device, adding services to their bill.

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As the generative AI boom drives steep demand for hardware components, Apple and other hardware makers are facing what outgoing CEO Tim Cook calls “a hundred-year flood [on] memory pricing,” which is severely impacting the cost of producing iPhones, MacBooks, and other devices.

Apple described its recent earnings report as its “strongest June quarter ever,” with iPhone and Mac sales performing better than expected, growing 22% and 29%, respectively, year-over-year. Yet the company is bracing for memory shortages, known as RAMageddon, to get even worse. Apple’s biggest challenge is securing the advanced memory nodes used in its Apple silicon chips, which power the A-Series and M-Series processors used in iPhones and Macs.

“We continue to expect high levels of demand. However, with less flexibility in supply chain, we expect the impact from the supply constraints to increase significantly sequentially,” Cook said on Apple’s quarterly earnings call. “We’re seeing some very significant constraints currently with limited flexibility in the supply chain to remedy it.”

Apple is evidently worried enough about supply shortages that it reported $11.1 billion in inventory, nearly double the $5.7 billion it reported last September. This marks a break from Cook’s long-held supply chain approach, which has emphasized minimizing how much inventory Apple has on hand.

These constraints led Apple to “reluctantly” raise the price of Macs and iPads last month, Cook added. Other companies that have raised hardware prices include Meta, Samsung, Microsoft, and Sony.

“We’re going to be scrambling on the supply side, essentially,” Cook said.

For the upcoming quarter, Apple is predicting revenue growth between 9% and 11% year-over-year. But in the last several quarters, Apple has maintained about 16% year-over-year growth. Of course, that worries investors — Apple stock dropped 6% in after-hours trading.

When Senior VP of Hardware Engineering John Ternus steps into the CEO role in September, the company could be facing a rough patch, but at least Apple isn’t alone in its supply struggles.

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Apple Inc. reported fiscal third-quarter results that topped Wall Street expectations on overall revenue and earnings, driven by strong iPhone and Mac sales. 

However, weaker-than-expected performance in China and its high-margin services business weighed on investor sentiment, sending shares down about 3.9% in after-hours trading.

The iPhone maker reported revenue of $109.42 billion for the quarter ended June 27, up 16.4% year over year and above analysts' expectations of $108.65 billion. 

Earnings came in at $2.02 per share, benefiting in part from 11 cents per share related to US tariff refunds. 

Even excluding those refunds, profit exceeded Wall Street estimates.

Apple's iPhone business remained the primary growth engine during the quarter. 

iPhone revenue climbed 21.7% to $54.25 billion, surpassing analyst estimates and marking the company's strongest June-quarter iPhone performance. 

Mac sales also exceeded expectations, rising 28.7% to $10.35 billion, helped by demand for the entry-level MacBook Neo and high-end MacBook Pro.

Chief Executive Officer Tim Cook attributed the company's supply constraints to shortages in advanced chipmaking technology.

"If you look at the root causes behind those, it's that we're having an incredibly strong product cycle beyond our expectations, and the (advanced chipmaking) supply chain just fundamentally has less flexibility in it to meet the high levels of demand," Cook told Reuters.

Apple has already increased prices for Macs and iPads as shortages of memory chips and processors continue to pressure supply. 

The company said gross margin reached 50.1%, with tariff refunds contributing two percentage points. 

Excluding those refunds, gross margin was 48.1%, still above analyst expectations.

Despite overall revenue growth, Apple's performance in two closely watched businesses disappointed investors.

Revenue from Greater China totaled $18.82 billion, missing analyst expectations of about $19.6 billion despite increasing 22.4% from a year earlier.

The company's services division, which includes the App Store, iCloud and subscription businesses, generated $30.74 billion in revenue. 

While the segment grew 12.1% year over year, it fell short of analyst expectations of roughly $31.22 billion.

Elsewhere, iPad revenue declined 5.9% to $6.19 billion, below forecasts. 

Cook attributed the decline to a difficult comparison with the prior year when Apple launched the budget-focused A16 iPad.

Wearables revenue increased 6.5% to $7.88 billion, slightly exceeding expectations.

AI strategy and leadership transition remain in focusApple's results come as investors continue comparing the company's artificial intelligence strategy with rivals that have dramatically increased spending on AI infrastructure.

Unlike several large technology peers, Apple has taken a more measured approach to capital spending, a strategy that has helped position it as a relatively defensive technology stock amid investor concerns over AI-related spending. 

The company recently reclaimed its position as the world's most valuable company with a market value approaching $5 trillion.

The company is also preparing for a leadership transition. 

The quarter marks Tim Cook's final earnings report as chief executive before hardware chief John Ternus takes over on Sept. 1.

Apple also continues to face supply chain challenges as demand for advanced chips and memory components rises across the technology industry. 

The shortages have already prompted price increases for Macs and iPads, while Wall Street increasingly expects higher iPhone prices when the next generation of devices is introduced later this year.

View of an Apple logo at an Apple store in Paris, France, April 23, 2025. REUTERS/Abdul Saboor/File Photo Purchase Licensing Rights, opens new tab

CompaniesLONDON, July 29 (Reuters) - Apple (AAPL.O), opens new tab said on Wednesday that proposed UK rules governing its App Store would amount to price regulation, arguing that ​plans to loosen its control over in-app payments could undermine innovation ‌and investment.

In a submission to Britain's Competition and Markets Authority, the iPhone maker said proposed "steering" requirements would go beyond promoting competition and give the regulator a "highly intrusive" role ​in managing its business.

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The CMA's consultation, which closed on Monday, ​is part of its efforts to boost competition and consumer choice. ⁠Its proposed measures would allow app developers to direct users to ​payment options outside Apple's App Store and Google's Play Store and require any ​fees charged for such steering to be fair and reasonable.

Apple said the App Store facilitated more than £46.5 billion ($61.8 billion) in UK billings and sales in 2025, with commissions ​accounting for less than 3.5% of the total. It added that there ​was no evidence changes to its payment model would lower prices for consumers.

"Under the (consultation), ‌the ⁠CMA would not only regulate Apple's prices, but also restrict the products and services for which Apple can charge a commission," the company said in its submission.

Gene Burrus, global policy counsel for the Coalition for App Fairness, ​which has long ​campaigned for restrictions ⁠on Apple and Google app store practices, said Apple's arguments overlooked the barriers developers face.

"Apple is using its position ​as the dominant platform gatekeeper to give itself unfair ​and unwarranted ⁠competitive advantages," Burrus said.

Apple has previously said developers already have multiple ways to transact with users outside its platform.

The CMA consultation is part of Britain's ⁠new ​digital markets regime, which gives the watchdog powers ​to impose tailored requirements on companies designated as having "strategic market status".

Apple and Google were designated under ​the regime last year.

($1 = 0.7521 pounds)

Reporting by Sam Tabahriti. Editing by Mark Potter

Our Standards: The Thomson Reuters Trust Principles., opens new tab

Sam Tabahriti is a UK breaking news correspondent covering general and political news for Reuters. He has over five years of experience covering general news and three years covering business and legal news. He is also a keen cyclist and photography enthusiast.

It's the end of an era. Tim Cook, the CEO of Apple (AAPL +1.02%), who has led the company since 2011, will step down from his role and become the company's executive chairman. John Ternus, the company's senior VP of Hardware Engineering, will take the helm. That means Apple's upcoming update, for the third quarter of its fiscal year 2026 -- set for release on July 30 -- will be Tim Cook's last as CEO. Here's what to pay attention to in this upcoming quarterly report.

Image source: The Motley Fool.

Can the iPhone continue driving growth? Apple has posted strong financial results over the past few quarters. The company has returned to double-digit year-over-year revenue growth, and in its latest period, it posted its strongest result in that category in several years.

AAPL Revenue (Quarterly YoY Growth) data by YCharts

The company's iPhone 17 has been doing much of the heavy lifting. However, Apple has encountered supply constraints in its device segment. One thing to watch out for in the next update is whether Apple is still dealing with supply constraints and what impact they had on top-line growth during its third quarter. Apple expects revenue growth between 14% and 17%.

It may land toward the higher end of that range (or above), provided the iPhone maintained its momentum over the period, and the company addressed its supply constraints. It will also be interesting to see whether Apple can set new records for active devices across the iPhone and other products, as it often does, and whether the company's subscription base continues to expand. Apple's fourth-quarter guidance will also be a key metric to watch for. If management once again predicts mid-teens revenue growth, that will say a lot about the health of the business.

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Is Apple stock a buy? Apple could fall short of expectations in its upcoming period, potentially sending the stock sharply lower. However, for investors focused on the long game, the company looks attractive regardless of what happens when it releases its Q3 earnings report. Here are three reasons why. First, Apple is reportedly planning to launch a brand-new, foldable iPhone. This device could help it compete with similar ones other smartphone makers have released, meaningfully expand its market, and boost its ecosystem of active devices.

Second, Apple's services segment remains healthy and will only improve as the company continues to bring new customers into its ecosystem. That will lead to stronger profits, since its services segment carries much higher margins than its device business. Third, Apple remains a terrific dividend stock. The company's forward yield isn't very impressive at 0.3% -- the S&P 500's average is about 1.1% -- but Apple hikes its dividends regularly and has ample room to keep doing so, given its very conservative 15.6% cash payout ratio. Apple is worth sticking with for all those reasons, regardless of what happens on July 30.

Apple has become only the second company to pass the $5tn valuation mark, as it benefited from investors fleeing AI and semiconductor stocks amid a wider tech sell-off.

The iPhone maker’s shares hit a session high ⁠of $342.89 on Tuesday, giving it a market ⁠capitalisation of $5.04tn (£3.78tn), then eased back to 0.8% up at $339.68 – around the $4.99tn mark.

Apple became the world’s most valuable company earlier this month, overtaking the chip giant Nvidia, which had been ⁠at the top since June 2025 and became the first company ever to breach the $5tn threshold last October.

The US consumer electronics company’s rally has been driven ⁠as much by strong demand for its products as its decision to sit out the ​AI spending race that is sapping cash ‌flows at big tech ‌rivals.

Its fresh valuation high came amid an intensifying sell-off of AI stocks around the world driven by rising concerns about AI companies’ borrowing to fund datacentre expansion.

US chip stocks extended their recent losses when Wall Street opened on Tuesday, with Intel, Advanced Micro Devices, Sandisk, Western Digital and Seagate Technology all down by more than 4%.

The Nasdaq 100 index of leading tech stocks fell by as much as 1.8% at one point, meaning since its early June record high it had fallen more than 10% – the technical definition of a market correction.

Meanwhile South Korea’s stock market slid to its lowest level since mid-April, with semiconductor companies SK Hynix and Samsung Electronics falling by more than 10%.

Analysts attributed the sell-off to renewed worries over AI investment spending, and competition from cheaper Chinese companies, after a report by the Information that China had begun mass production of homegrown deep ultraviolet (DUV) chip-making tools.

Apple’s decision to hold iPhone prices steady, despite increases last month for MacBooks and iPads, has bolstered demand. Photograph: Lucas Jackson/ReutersInvestors may also be growing jittery about the “circular funding” at the heart of the AI industry, through which artificial intelligence companies finance one another.

They have also been spooked by the announcement by Google last week that it was further increasing capital spending this year to as much as $205bn to fund its AI plans, while reporting negative free cashflow for ​the first time in its history, burning through $5.9bn in the three months to the end of June.

Apple has been shielded somewhat by being somewhat of an AI laggard. Its difficulties in developing in-house models meant it has instead relied on Google’s ‌technology to power new services such as a revamped Siri. That has spared it the hefty infrastructure costs that have left big tech investors wary.

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Apple’s decision to hold iPhone prices steady last month when it announced increases for MacBooks and iPads has also bolstered demand as buyers scooped up the company’s flagship device ahead of expected ‌price hikes later this year, analysts have said.

To aid demand, Apple on Tuesday also launched a device leasing programme in the US through the payments ​firm Klarna, under which monthly payments start at $17.99 for an iPhone, $11.99 for an Apple Watch or iPad, and $24.99 for a Mac.

“Apple has resisted the AI spending race, betting that customer experience – not infrastructure investment – will ultimately determine the winners,” said Dipanjan Chatterjee, a vice-president and principal analyst at Forrester. “The ⁠new leasing programme is a clever response: it doesn’t reduce the price ​of an iPhone, but ​it changes how consumers perceive the cost ​by replacing sticker shock with a predictable monthly payment.”

Including session gains, Apple ​stock has jumped ‌24% so far this year, ​widely outperforming the ​other six of the “Magnificent Seven” cohort of US technology stocks.

Apple is to report its third-quarter earnings after the market close on Thursday, with analysts expecting a more than 15% jump in revenue for the period compared with a year earlier.

Reuters contributed to this report

View of an Apple logo at an Apple store in Paris, France, April 23, 2025. REUTERS/Abdul Saboor/File Photo Purchase Licensing Rights, opens new tab

July 28 (Reuters) - Apple's market capitalization briefly surpassed $5 trillion for the first time on Tuesday, making it only the second company ever to achieve that milestone after Nvidia (NVDA.O), opens new tab.

Its shares (AAPL.O), opens new tab were last ​up 0.2% at $337.7, giving it a market capitalization of $4.96 trillion. At a ‌session high of $342.89, Apple's market value stood at $5.036 trillion.

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The iPhone maker became the most valuable company in the world earlier this month, overtaking chip giant Nvidia (NVDA.O), opens new tab - which had been at the top since June 2025 ​and was the first company ever to breach the $5 trillion threshold.

For Apple, this ​year's rally has been driven as much by strong demand for its ⁠products as its decision to sit out the AI spending race that is sapping cash ​flows at Big Tech rivals.

The consumer electronics giant struggled to develop in-house AI models and ​has instead relied on Google's technology to power new services such as a revamped Siri, avoiding the hefty infrastructure costs that have left Big Tech investors wary of the payoff from surging data-center investments.

Its ​decision to hold iPhone prices steady last month when it unveiled increases for MacBooks and ​iPads has also bolstered demand as buyers scooped up the company's flagship device ahead of expected price ‌hikes ⁠later this year, analysts have said.

To aid demand, Apple on Tuesday also launched a device leasing program in the U.S. through payments firm Klarna (KLAR.N), opens new tab, under which monthly payments start at $17.99 for an iPhone, $11.99 for an Apple Watch or iPad and $24.99 for a Mac.

"Apple has resisted the ​AI spending race, betting ​that customer experience - not ⁠infrastructure investment - will ultimately determine the winners," said Dipanjan Chatterjee, vice president and principal analyst at Forrester.

"The new leasing program is a clever response: ​it doesn't reduce the price of an iPhone, but it changes ​how consumers ⁠perceive the cost by replacing sticker shock with a predictable monthly payment."

Including session gains, Apple stock has jumped 24% so far this year, widely outperforming the other six of the "Magnificent 7" ⁠cohort of ​U.S. technology stocks.

Apple is set to report its third-quarter ​earnings after the market close on Thursday, with analysts expecting a more than 15% jump in quarterly revenue from ​a year earlier.

Reporting by Shashwat Chauhan and Aditya Soni in Bengaluru; Editing by Anil D'Silva

Our Standards: The Thomson Reuters Trust Principles., opens new tab

Apple (NASDAQ:AAPL | AAPL Price Prediction) enters its July 30 earnings report with eight consecutive EPS beats and its strongest revenue growth in years. The business recently became the most valuable company on Earth, overtaking Nvidia. A new $100 billion buyback, record Services revenue, and management’s outlook for 14% to 17% June-quarter growth give investors 3 clear reasons to watch the stock.

Reason #1: Apple Just Authorized Another $100 Billion Buyback Apple’s board just authorized a fresh $100 billion share repurchase program and lifted the dividend 4% to $0.27 per share. In the March Q2 quarter alone, the company returned $15 billion to shareholders, including $11 billion in buybacks that retired 42 million shares. Since the program’s inception, Apple has returned over $1 trillion to shareholders.

Reason #2: Revenue Growth Is Accelerating Second, growth is accelerating. Q2 FY26 revenue climbed 16.6% year over year to $111.18 billion, with iPhone revenue up 22% on the iPhone 17 launch. Services set another all-time record at $30.98 billion, carrying a 76.7% gross margin against a 2.5 billion-device installed base. This gives Apple a recurring, high-margin income stream investors pay a premium for.

Reason #3: July 30 Q3 Earnings Could Extend the Momentum Third, management guided for this quarter to see 14-17% revenue growth and gross margin of 47.5-48.5%. Prediction markets assign an 81% probability to iPhone revenue clearing $52 billion in this quarter.

The Big Advantage Apple Has Over Alphabet Alphabet’s (NASDAQ:GOOGL) Q2 2026 free cash flow was negative $5.86 billion after capital expenditures hit $44.92 billion, and the company’s stock buyback program was suspended in Q2 2026. Alphabet raised roughly $70 billion in combined debt and equity to fund its AI compute.

Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Apple didn't make the cut. Grab the names FREE today.

On the other hand, Apple has been able to sit out the massive AI infrastructure spending that many other Mag-7 stocks are participating in. While Alphabet and others issue debt and equity, Apple continues to buy back stock.

China Has Become a Growth Engine Again China remains an important risk, but Apple’s recent results point toward renewed strength rather than deterioration. Greater China revenue reached a record $20.50 billion in the March quarter, rising 28%, while first-half regional growth reached 33%.

Apple now combines accelerating revenue, record high-margin Services sales, and a fresh $100 billion buyback. The July 30 report will show whether that momentum can continue through the June quarter and support another year of substantial shareholder returns.

Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Apple didn't make the cut. Grab the names FREE today.

Contact [email protected] for any questions or corrections.

Posted by Defense World Staff on Jul 28th, 2026

Arbejdsmarkedets Tillaegspension grew its stake in Apple Inc. (NASDAQ:AAPL – Free Report) by 3,759.2% during the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 100,686 shares of the iPhone maker’s stock after purchasing an additional 98,077 shares during the period. Arbejdsmarkedets Tillaegspension’s holdings in Apple were worth $25,553,000 at the end of the most recent reporting period.

Other large investors have also modified their holdings of the company. Norges Bank acquired a new stake in shares of Apple in the 4th quarter worth $52,266,468,000. Nuveen LLC acquired a new position in shares of Apple during the first quarter worth about $17,472,482,000. Cardano Risk Management B.V. increased its stake in shares of Apple by 890.7% during the fourth quarter. Cardano Risk Management B.V. now owns 41,984,810 shares of the iPhone maker’s stock worth $11,413,990,000 after acquiring an additional 37,746,784 shares during the period. Laurel Wealth Advisors LLC raised its holdings in Apple by 20,464.8% during the second quarter. Laurel Wealth Advisors LLC now owns 27,069,029 shares of the iPhone maker’s stock worth $5,553,753,000 after purchasing an additional 26,937,401 shares in the last quarter. Finally, Vanguard Group Inc. raised its holdings in Apple by 1.9% during the fourth quarter. Vanguard Group Inc. now owns 1,426,283,914 shares of the iPhone maker’s stock worth $387,749,545,000 after purchasing an additional 26,856,752 shares in the last quarter. Hedge funds and other institutional investors own 67.73% of the company’s stock.

Insiders Place Their Bets In other news, insider Ben Borders sold 116 shares of the firm’s stock in a transaction on Tuesday, June 16th. The stock was sold at an average price of $295.14, for a total value of $34,236.24. Following the completion of the transaction, the insider owned 38,713 shares in the company, valued at $11,425,754.82. This trade represents a 0.30% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Company insiders own 0.06% of the company’s stock.

Apple Price Performance Shares of NASDAQ:AAPL opened at $336.91 on Tuesday. The business’s 50 day simple moving average is $307.40 and its 200-day simple moving average is $279.61. The firm has a market capitalization of $4.95 trillion, a price-to-earnings ratio of 40.74, a price-to-earnings-growth ratio of 2.88 and a beta of 1.10. The company has a debt-to-equity ratio of 0.70, a current ratio of 1.07 and a quick ratio of 1.02. Apple Inc. has a 12 month low of $201.50 and a 12 month high of $339.57.

Apple (NASDAQ:AAPL – Get Free Report) last released its quarterly earnings results on Thursday, April 30th. The iPhone maker reported $2.01 earnings per share for the quarter, topping analysts’ consensus estimates of $1.95 by $0.06. Apple had a return on equity of 146.69% and a net margin of 27.15%.The business had revenue of $111.18 billion for the quarter, compared to analysts’ expectations of $109.46 billion. During the same quarter in the prior year, the firm posted $1.65 EPS. The company’s revenue was up 16.6% compared to the same quarter last year. As a group, equities analysts forecast that Apple Inc. will post 8.76 earnings per share for the current fiscal year.

Apple Increases Dividend The company also recently announced a quarterly dividend, which was paid on Thursday, May 14th. Shareholders of record on Monday, May 11th were issued a $0.27 dividend. This represents a $1.08 annualized dividend and a yield of 0.3%. This is a positive change from Apple’s previous quarterly dividend of $0.26. The ex-dividend date of this dividend was Monday, May 11th. Apple’s dividend payout ratio is currently 13.06%.

Apple News Summary Here are the key news stories impacting Apple this week:

Positive Sentiment: Market-cap leadership and momentum: Apple reclaimed the title of the world’s largest company as Nvidia shares declined. The move reinforces investor confidence in Apple’s resilient consumer business and has made AAPL a relative outperformer among major technology stocks. Apple ends day as world’s most valuable company, passing Nvidia Positive Sentiment: Earnings optimism: Apple reports results on July 30, with analysts expecting continued iPhone demand, Services growth, and potentially strong Mac revenue. Goldman Sachs raised its price target and expects performance above consensus on iPhone and Mac sales, while Bank of America anticipates a Services-driven earnings beat. Goldman Raises Apple Stock Price Target Positive Sentiment: Investor positioning: Options activity indicates traders are preparing for a sizable upward move following earnings. The stock has risen about 20% from its late-June low, reflecting elevated expectations for the report and Apple’s product ecosystem. Apple options are doing something unusual into earnings Neutral Sentiment: Future product catalysts: Apple is reportedly emphasizing privacy as it develops smart glasses for a potential 2027 launch, while investors continue to speculate about a foldable iPhone and incoming CEO John Ternus’s ability to drive the next major product cycle. Apple Puts Privacy at Center of Smart Glasses Push Negative Sentiment: AI execution concerns: Investors remain divided over Apple’s comparatively restrained AI spending and strategy, particularly as rivals commit hundreds of billions of dollars to AI infrastructure. A disappointing outlook or evidence that Apple is falling behind could pressure the stock after its strong run. Apple Is Barely Spending on AI Negative Sentiment: Valuation and component-cost risks: At roughly 41 times earnings, Apple has limited room for an earnings miss. Potential tariffs and higher memory-chip prices could increase iPhone production costs and compress hardware margins, although Apple is reportedly seeking permission to use Chinese memory components in international devices. Apple stock and memory-cost analysis Wall Street Analysts Forecast Growth AAPL has been the topic of a number of analyst reports. Wells Fargo & Company reaffirmed an “overweight” rating and issued a $310.00 price objective (up from $300.00) on shares of Apple in a report on Friday, May 1st. Weiss Ratings reissued a “buy (b-)” rating on shares of Apple in a report on Wednesday, July 15th. Bank of America restated a “buy” rating and issued a $380.00 price target on shares of Apple in a research note on Thursday, June 18th. Robert W. Baird increased their price objective on Apple from $310.00 to $330.00 and gave the stock an “outperform” rating in a research report on Friday. Finally, Oppenheimer reiterated a “market perform” rating on shares of Apple in a research report on Tuesday, June 9th. One investment analyst has rated the stock with a Strong Buy rating, twenty-three have assigned a Buy rating, nine have assigned a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $327.40.

View Our Latest Stock Report on AAPL

Apple Company Profile (Free Report)

Apple Inc (NASDAQ: AAPL) is a multinational technology company headquartered in Cupertino, California, founded in 1976 by Steve Jobs, Steve Wozniak and Ronald Wayne. The company designs, develops and sells consumer electronics, software and services. Over its history Apple has evolved from personal computers to a broad portfolio that spans mobile devices, wearables, home entertainment and digital services.

Apple’s principal hardware products include the iPhone smartphone, iPad tablet, Mac personal computers, Apple Watch wearable devices and a range of accessories such as AirPods and HomePod.

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Item 1 of 2 Apple's CEO Tim Cook and Senior Vice President Hardware Engineering John Ternus attend the premiere of season four of the Apple TV series "Ted Lasso" at the Academy Museum in Los Angeles, California, U.S., July 27, 2026. REUTERS/David Swanson

[1/2]Apple's CEO Tim Cook and Senior Vice President Hardware Engineering John Ternus attend the premiere of season four of the Apple TV series "Ted Lasso" at the Academy Museum in Los Angeles,... Purchase Licensing Rights, opens new tab Read more

SummaryCompaniesJohn Ternus takes over as Apple CEO in SeptemberApple began offering original TV series and films through Apple TV in 2019Ternus and current CEO Tim Cook spoke at premiere for new season ​of 'Ted Lasso'LOS ANGELES, July 27 (Reuters) - Apple's (AAPL.O), opens new tab incoming CEO, hardware chief John Ternus, ‌said he was committed to building on the company's momentum in the entertainment business when he takes the helm of the iPhone maker in September.

The technology giant began offering original TV series and films through the Apple TV+ ​streaming app in 2019. The company found success with Oscar best picture winner "CODA," box-office blockbuster "F1" ​and Emmy-winning shows such as "The Studio" and "Ted Lasso."

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Last year, Apple dropped the plus ⁠sign and renamed the service Apple TV.

"I think we have such tremendous momentum right now in ​Apple TV," Ternus told Reuters on the red carpet at the premiere of the fourth season of "Ted ​Lasso."

"There's so many amazing shows, so many amazing characters and stories, and so we're just going to keep building on the momentum."

Ternus stood next to current CEO Tim Cook, who said he is sharing his insights about the ​entertainment business as part of the leadership transition.

"Our role is to be the best. That's our ​lane," Cook said of Apple's entertainment strategy. "We're not about the most. There are ... other companies that do that. But ‌we're ⁠about the best, and I feel like we really hit our stride in providing that."

Cook said Apple was open to future partnerships in the entertainment realm if the company feels it can bring a particular expertise. He pointed to the arrangement with the Formula 1 racing league.

For the Brad Pitt ​movie "F1," Apple built custom ​cameras to help make ⁠audiences feel like they were inside a race car. F1 races are now shown exclusively on Apple TV in the United States, and the company ​provides leaderboards, updates and other coverage on Apple News and other apps.

"We'll ​do things ⁠that we can bring something unique to, where we can innovate in a way that others might not be able to," Cook said. "I feel like we're really doing that with F1. We're so excited about ⁠how ​we're doing there and the viewership numbers that we're getting. ​So more things like that would be possible."

Last month, senior Apple executive Eddy Cue told Reuters the company's goal was to offer "better ​and more" TV shows and movies on streaming and in cinemas.

Reporting by Rollo Ross; Writing by Lisa Richwine

Our Standards: The Thomson Reuters Trust Principles., opens new tab

There is a spending contest underway in big tech, and Apple (AAPL +0.80%) has declined to enter it.

Alphabet lifted its 2026 capital spending plan to a top end of $205 billion last week. Amazon expects to invest about $200 billion this year, Microsoft has pointed to roughly $190 billion, and Meta Platforms plans as much as $145 billion. Together, that's more than $700 billion in a single year, the great majority of it aimed at AI (artificial intelligence) infrastructure.

Apple's capital expenditures in fiscal 2025 were $12.7 billion. In other words, the world's largest consumer technology company is spending a fraction of what those four rivals will spend, combined, while they race to add AI computing capacity.

So is Apple's restraint a capital-allocation edge, or a company in denial about what AI requires? With Apple's fiscal third-quarter report due Thursday, July 30, it's the right week to ask.

Image source: Apple.

Renting the build-out instead of funding it Apple's small budget isn't an accident. It reflects a deliberate structure.

On the company's fiscal first-quarter earnings call, chief financial officer Kevan Parekh described a "hybrid" capital model, in which Apple leverages "a combination of first and third-party capacity." In other words, Apple rents much of its computing power from cloud computing providers rather than building data centers itself, and when it does build for AI, it runs the servers on its own chips. That's the basis of Private Cloud Compute, the infrastructure behind Apple Intelligence.

The structure means Apple can access third-party capacity without carrying the full construction bill. And if computing gets cheaper as all of that new supply comes online, renters could benefit first. Whether the access holds up at scale is the open question the next few years will answer.

Meanwhile, the strategy shows up where shareholders can see it. In the March quarter, Apple generated more than $28 billion in operating cash flow, a record for the period -- and with capital spending under $3 billion, nearly all of it was free cash flow. Compare that with Alphabet, whose free cash flow was negative $5.9 billion in its most recent quarter, or Amazon, whose trailing-12-month free cash flow has fallen to $1.2 billion as its capital spending climbs.

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Discipline is winning so far Restraint would mean little if Apple's business were stalling. It isn't.

Fiscal second-quarter revenue rose 17% year over year to $111.2 billion, and earnings per share climbed 22% to $2.01. iPhone revenue hit $57 billion, a March-quarter record, up 22% year over year on demand for the iPhone 17 lineup. Services set an all-time revenue record. For perspective, Apple's revenue grew about 6% in all of fiscal 2025 -- so growth hasn't just held up under the low-spend strategy, it has accelerated sharply.

That's the case for discipline. The case for denial is worth taking seriously, too.

Apple's approach partly depends on third-party capacity in a world where computing power is scarce -- its rivals are spending those hundreds of billions precisely because demand keeps outrunning supply. If AI features become the deciding factor in phone and device purchases, and if delivering them requires more compute than Apple can rent or build quickly, the company could find itself paying up later at worse prices. That scenario can't be ruled out, and it's the main thing I'll be listening for on the July 30 call. Apple's own capital spending rose in fiscal 2025, with Parekh noting the company built out its Private Cloud Compute environment last year.

And the stock leaves little room for the strategy to fail. Shares trade near $333 as of this writing, just below their record high, at about 40 times earnings.

My verdict leans toward discipline. Apple is growing faster than it has in years and generating record cash, while its rivals bear the cost, and the risk, of their own infrastructure build-outs. If the strategy proves wrong, Apple has the cash flow to change course and pay up later. If it proves right, shareholders will never have paid for the detour.

Thursday's report offers the next test. Another quarter of double-digit growth alongside a capital spending line that remains tiny next to its peers' would be the strategy working, measurably. I own the stock, and nothing about the $700 billion around it makes me want to change that.

Apple Inc. (NASDAQ:AAPL) stock rose in Monday’s premarket trading as investor sentiment improved ahead of the opening bell. Nasdaq futures climbed 1.6%, while S&P 500 futures gained 0.97%.

Apple’s early gains largely tracked the broader rally in U.S. equity futures, with other mega-cap technology stocks also moving higher.

The stock is trading near a key resistance level around its recent highs. That makes even modest gains meaningful for short-term traders.

Investors are also positioning ahead of Apple’s quarterly earnings report later this week. As a result, trading could remain sensitive around key technical levels until the results are released.

AI Strategy In Focus: Apple Is Zigging While Big Tech Zags on AIApple’s artificial intelligence strategy is also drawing increased attention ahead of its earnings report.

Unlike Alphabet Inc., Meta Platforms Inc., Amazon.com Inc. and Microsoft Corp., Apple is not spending heavily on AI infrastructure or developing large foundation models. Instead, the company is leaning on its large installed base of consumer devices to deliver AI features.

Evercore ISI analyst Amit Daryanani told CNBC on Friday that Apple appears to view foundation models as less critical to long-term differentiation. That approach allows the company to avoid the heavy capital spending seen across the hyperscaler group while preserving greater flexibility to return cash to shareholders.

Needham analyst Laura Martin told CNBC on Saturday that Apple has chosen to position itself as the primary gateway between consumers and AI services rather than building its own foundation model.

Despite Android’s larger global market share, she said Apple is making a high-stakes wager that it can succeed without developing its own large AI model.

According to Martin, that strategy could either generate exceptional long-term returns if it proves successful or pose a significant existential risk to the company if it fails. She added that she believes Apple has made the wrong choice.

The key question for investors is whether Apple Intelligence can drive a new hardware upgrade cycle. The analyst pointed to faster iPhone replacement rates and improving demand in China as important metrics to watch.

Technical AnalysisApple traded at $334.00, just below its 52-week high of $334.99 reached in July. A move above $335 could attract momentum buyers, while failure to break through may trigger profit-taking.

The broader trend remains positive. The stock trades 6.2% above its 20-day simple moving average (SMA) of $314.39 and 20.9% above its 200-day SMA of $275.98.

The 20-day SMA remains above the 50-day SMA. In addition, the 50-day SMA continues to trade above the 200-day SMA following the golden cross that formed in September 2025. That setup suggests the longer-term uptrend remains intact.

Momentum indicators also support the bullish outlook. The moving average convergence divergence (MACD) indicator remains above its signal line, while the histogram is positive. Together, those signals point to strengthening buying momentum.

The next key resistance level is $335.00. Initial support sits near $287.50, an area where buyers have previously stepped in.

Earnings And Analyst OutlookApple is scheduled to report quarterly results on Thursday, July 30.

Wall Street expects earnings of $1.89 per share, up from $1.57 a year earlier. Revenue is projected to reach $108.86 billion, compared with $94.04 billion in the prior-year quarter.

The stock trades at 40.3 times earnings, reflecting a premium valuation.

Analysts maintain a consensus Buy rating with an average price forecast of $325.36. Recent rating changes include:

Morgan Stanley raised its price forecast to $364 on July 23 while maintaining an Overweight rating. HSBC upgraded the stock to Buy on July 17 and raised its price forecast to $366. KeyBanc downgraded Apple to Underweight on July 14 with a $250 price forecast. ETF ExposureBecause Apple represents such a large portion of these funds, strong ETF inflows or outflows can drive automatic buying or selling of the stock.

Price ActionAAPL Stock Price Activity: Apple shares were up 0.29% at $334.00 during premarket trading on Monday, according to Benzinga Pro data.

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Apple Inc. stock climbed 3% on Friday, outperforming much of the technology sector even as semiconductor stocks came under pressure.

The gains came after Baird raised its price target on the iPhone maker while maintaining an Outperform rating ahead of the company's upcoming quarterly earnings report.

The broader technology sector was weaker during the session. The Nasdaq Composite fell 0.19%, while shares of Intel, Micron and Advanced Micro Devices declined between 1% and 5%.

Apple's relative strength comes as investors prepare for the company's fiscal third-quarter earnings report, scheduled for July 30, and assess several product and software initiatives expected over the coming months.

William Power, Senior Research Analyst at Baird, raised the price target on Apple to $330 from $310 on Thursday while reiterating its Outperform rating.

The brokerage expects Apple to deliver solid fiscal third-quarter results, supported by continued iPhone demand and stable growth in its services business.

While memory pricing remains a headwind, Baird expects recent price increases to help offset some of that pressure.

The brokerage acknowledged that Apple's valuation appears elevated compared with historical levels but believes several factors continue to support the stock.

Port in the storm (of software and mega-cap tech capex). We expect solid FQ3 results, driven by strong iPhone growth and steady services trends. Memory pricing remains a daunting headwind, though price increases should ease the pressure. Valuation looks rich relative to past trends, suggesting much may be priced in, but we expect the strong free cash flow, upcoming product cycle and early positive comments on Siri AI to support the stock. We also think Street estimates over the NTM are set up well, with potential for further upside.

According to Baird, Apple generated approximately $129 billion in free cash flow over the last twelve months, while an upcoming product cycle and encouraging early commentary surrounding Siri AI could provide additional support for shares.

The firm also believes Wall Street earnings estimates for the next twelve months leave room for further upside.

Apple is scheduled to report earnings on July 30, with options markets implying a potential 3.5% move in the stock following the results.

Beyond earnings, investors are closely watching Apple's upcoming hardware refresh.

The company is preparing to introduce its next-generation M6 processor across its Mac lineup beginning this fall and extending into next year.

The refresh is expected to include updated 14-inch MacBook Pro models and new iMac computers, marking the first refresh for the desktop line in two years.

Apple is also preparing to launch Apple Upgrade, a new device leasing program backed by Klarna. The service is scheduled to become available in the United States on July 28.

Separately, Evercore ISI reiterated its Outperform rating and maintained a $365 price target following news of the Apple Upgrade program.

The investment firm also maintained its bullish stance after reports that Apple is engaged in settlement discussions with the US Department of Justice over an antitrust lawsuit filed in March 2024.

Apple is also expanding its presence in the automotive software market.

The company announced that Ford will become the first automaker to adopt its new MapKit for Automotive software development kit.

The technology will be integrated into dashboards across Ford's forthcoming electric vehicle platform and will also provide road data for the automaker's BlueCruise hands-free driving system.

The announcement marks a deeper expansion into vehicle software following Apple's decision two years ago to end its own electric vehicle project.

Unlike CarPlay, which primarily provides infotainment services, the new automotive software integrates Apple's mapping technology more directly into vehicle systems.

With earnings approaching, new hardware launches on the horizon and continued expansion into automotive software, investors will be closely watching whether Apple can sustain its recent outperformance amid broader volatility across the technology sector.

Something odd has happened to Apple (AAPL -1.27%) on Wall Street. The 47 analysts covering the stock still rate it a buy, on average. But their average 12-month price target is now about $319 -- slightly below the roughly $320 the stock trades for as of this writing. In other words, the analysts who recommend buying Apple are, collectively, forecasting that it goes nowhere for a year.

That's an unusual setup for one of the world's most valuable tech companies, and the timing sharpens it. Apple reports fiscal third-quarter results on July 30, one week from today.

So is Wall Street quietly saying the stock is fully valued? Or have the targets simply not caught up with a stock that has moved faster than the models tracking it? A little of both, I'd argue.

Image source: Apple.

What a below-price average actually says The average hides a wide spread. Price targets on Apple run from a low of $215 to a high of $400, and the median target of about $329 sits modestly above the current share price.

The ratings lean the same direction as the average rating suggests. Of the 47 analysts, 29 rate the stock a buy or better, 14 call it a hold, and only four recommend selling.

That combination of bullish ratings and flat targets usually shows up after a stock has made a big move in a short time. Apple qualifies. Shares trade about 59% above their 52-week low of $201.50, and they set a record high of $334.99 within the past week.

Price targets tend to trail a run like that, getting revised upward in steps as analysts refresh their models. Indeed, the revisions are still coming. Morgan Stanley just lifted its target to $364.

But it would be too easy to dismiss the flat average as pure lag. The targets also reflect a valuation that has expanded dramatically. Apple trades at about 40 times earnings, a big premium to where it sat for most of the past few years.

The business is backing it up for now. Revenue rose 17% year over year in the fiscal second quarter, and earnings per share climbed 22%. But a year ago, investors could buy the same company for a much smaller premium. The below-price average is Wall Street's way of saying most of that improvement is now in the price.

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The setup into July 30 That leaves next week's report carrying more weight than usual. Apple has scheduled its fiscal third-quarter results for Thursday, July 30. A 40-times-earnings multiple on a company sitting 4% from its record high leaves little cushion if growth cools.

There are reasons to expect the growth to hold. The company's recent momentum has been broad. iPhone revenue hit $57 billion in the March quarter, a record for the period and up 22% year over year, and the high-margin services business set an all-time revenue record of its own.

And Apple keeps adding potential catalysts. A reported device-leasing program with Klarna is reportedly set to launch on July 28 -- a move that could nudge iPhone revenue toward steadier, subscription-like behavior.

With that said, investors shouldn't count on the report to deliver another leg higher. When the average analyst target sits below the price, good news mostly confirms what's already priced in, while any wobble invites the stock to close the gap with the models. Apple doesn't need to disappoint for the stock to stall. It just needs to be ordinary for a quarter.

As for what I'd do, I wouldn't treat a below-price average target as a sell signal. Analyst targets chase the stock in both directions, and Apple remains one of the highest-quality businesses in the world, with staying power that's difficult to find anywhere else. It's a stock I'd continue holding for the long haul, and I'd still call it a top stock to buy and hold -- in moderation -- even at today's premium.

But the flat consensus is useful as a temperature check. It says the easy stretch of this run is probably over, and that returns from here likely have to be earned by the business quarter after quarter, because the valuation multiple has already done its expanding. Going into July 30, that's worth keeping in mind before expecting fireworks.

After 15 years running Apple (AAPL -1.55%), Tim Cook will hand the CEO role to hardware chief John Ternus on Sept. 1, with Cook staying on as executive chairman. Ternus is a 25-year Apple veteran who helped launch the iPad and AirPods, so this is a carefully planned insider handoff, not a shake-up.

Here are three things Apple investors can reasonably expect from the leadership change.

Image source: Getty Images.

1. Continuity, not a revolution Apple did not hire an outsider with a mandate to tear things up. Ternus has spent his entire career inside Apple, and Cook will remain as executive chairman to smooth the transition. Expect the strategy, the disciplined supply chain, and the capital-return program to carry on largely unchanged in the near term.

Cook is an operations master; Ternus is an engineer who ran hardware for the iPhone, iPad, Mac, and Watch. That suggests a CEO with a sharper instinct for the products themselves, which could mean more aggressive bets on new hardware like foldable devices, smart glasses, and AI-infused gadgets.

2. Pressure to fix Apple's AI story This is the big one. Apple has been widely seen as lagging in artificial intelligence (AI), with Siri and Apple Intelligence both underwhelming users and investors. Ternus inherits the job of making Apple a credible AI player, likely by leaning on its strength in on-device AI and custom silicon. How he handles this will define his tenure.

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3. Steady shareholder returns Don't expect the cash machine to slow down. Apple's massive buybacks and growing dividend should continue, and the real profit engine, its high-margin services business, keeps expanding. In the near term, watch iPhone gross margins, which some view as a key signal of financial health.

Ternus takes over with the stock near all-time highs, but that cuts both ways. Expectations are elevated, so every early decision and product launch will face intense scrutiny, and the share price could be volatile as investors judge whether he can innovate or merely maintain. New CEOs are rarely given much patience.

The takeaway for investors The handoff from Cook to Ternus looks about as smooth as a leadership change at a multitrillion-dollar company can be, which should reassure long-term shareholders. The real questions are about the future, not the transition: Can Ternus close Apple's AI gap and reignite hardware innovation, while protecting the margins and cash returns that investors prize?

I would treat September as the start of a show-me period rather than a reason to buy or sell, and judge the new CEO by his products, not his first press release.

Apple's (AAPL -1.55%) measured approach to artificial intelligence (AI), avoiding spending massive amounts of capital in this area like its big tech peers, appears to be a winning strategy from the market's point of view. Shares have climbed 22% in 2026 (as of July 20). They trade in record territory.

Should investors buy this "Magnificent Seven" stock right now?

Image source: The Motley Fool.

Investors might want to think twice about purchasing this business. That's because Apple shares aren't cheap.

The current price-to-earnings ratio of 39.5, which is near an 18-year high, indicates heightened investor enthusiasm. This adds greater downside risk should the business report financial results that disappoint investors.

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The market clearly has a favorable view of this company, though. Apple's financial performance has been superb. It reported 16.6% year-over-year revenue growth in Q2 2026 (ended March 28), with diluted earnings per share rising 21.8%. Demand for the latest iPhone 17 family has been off the charts, supporting the powerful ecosystem that drives customer stickiness.

Perhaps most importantly, Apple has stayed away from the unprecedented capital expenditure (capex) cycle that's defining the AI boom. Its capex totaled just $4.3 billion in the first six months of fiscal 2026.

Consequently, free cash flow remains robust. This gives the leadership team the ability to continue returning incredible amounts of capital to shareholders, primarily through stock buybacks.

Investors should keep Apple on their watch list, but wait for a better valuation.

Neil Patel has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Apple. The Motley Fool has a disclosure policy.

Posted by Defense World Staff on Jul 22nd, 2026

Cvfg LLC lifted its stake in shares of Apple Inc. (NASDAQ:AAPL – Free Report) by 154.7% during the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 81,665 shares of the iPhone maker’s stock after purchasing an additional 49,606 shares during the quarter. Apple comprises 2.6% of Cvfg LLC’s investment portfolio, making the stock its 6th biggest holding. Cvfg LLC’s holdings in Apple were worth $20,726,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other large investors also recently made changes to their positions in the company. Lifetime Wealth Management P.C. bought a new position in shares of Apple in the 4th quarter worth $41,000. ROSS JOHNSON & Associates LLC lifted its stake in shares of Apple by 1,800.0% in the first quarter. ROSS JOHNSON & Associates LLC now owns 190 shares of the iPhone maker’s stock valued at $42,000 after buying an additional 180 shares in the last quarter. Timmons Wealth Management LLC acquired a new position in shares of Apple during the fourth quarter valued at about $69,000. LSV Asset Management acquired a new position in shares of Apple during the fourth quarter valued at about $65,000. Finally, Inspire Investing LLC bought a new stake in shares of Apple during the fourth quarter worth about $76,000. 67.73% of the stock is currently owned by institutional investors and hedge funds.

Insider Activity In related news, insider Ben Borders sold 1,274 shares of the stock in a transaction dated Friday, May 8th. The shares were sold at an average price of $290.00, for a total transaction of $369,460.00. Following the completion of the transaction, the insider owned 38,713 shares in the company, valued at approximately $11,226,770. This represents a 3.19% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CFO Kevan Parekh sold 1,534 shares of the firm’s stock in a transaction dated Thursday, April 23rd. The stock was sold at an average price of $275.00, for a total transaction of $421,850.00. Following the sale, the chief financial officer owned 13,366 shares of the company’s stock, valued at $3,675,650. This trade represents a 10.30% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 2,924 shares of company stock valued at $825,546. 0.06% of the stock is owned by company insiders.

Apple Price Performance Apple stock opened at $327.74 on Wednesday. Apple Inc. has a 52 week low of $201.50 and a 52 week high of $334.99. The company’s 50 day moving average price is $304.95 and its two-hundred day moving average price is $277.89. The stock has a market cap of $4.81 trillion, a P/E ratio of 39.63, a P/E/G ratio of 2.84 and a beta of 1.10. The company has a quick ratio of 1.02, a current ratio of 1.07 and a debt-to-equity ratio of 0.70.

Apple (NASDAQ:AAPL – Get Free Report) last released its earnings results on Thursday, April 30th. The iPhone maker reported $2.01 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.95 by $0.06. The company had revenue of $111.18 billion during the quarter, compared to analyst estimates of $109.46 billion. Apple had a return on equity of 146.69% and a net margin of 27.15%.Apple’s quarterly revenue was up 16.6% on a year-over-year basis. During the same period in the prior year, the company posted $1.65 earnings per share. On average, equities analysts predict that Apple Inc. will post 8.76 earnings per share for the current year.

Apple Increases Dividend The business also recently declared a quarterly dividend, which was paid on Thursday, May 14th. Investors of record on Monday, May 11th were issued a $0.27 dividend. This is an increase from Apple’s previous quarterly dividend of $0.26. The ex-dividend date of this dividend was Monday, May 11th. This represents a $1.08 dividend on an annualized basis and a dividend yield of 0.3%. Apple’s payout ratio is presently 13.06%.

Trending Headlines about Apple Here are the key news stories impacting Apple this week:

Positive Sentiment: Apple is reportedly launching a new device leasing program with Klarna, a major change to how it sells hardware that could support upgrade demand and recurring device sales. Reuters: Apple to launch ‘Upgrade’ device leasing program to spur sales, Bloomberg News reports Positive Sentiment: HSBC upgraded Apple, saying it is entering a powerful new upgrade cycle supported by AI and a strong hardware roadmap. Barchart: HSBC Says Apple Is Entering a Powerful New Upgrade Cycle Positive Sentiment: Several commentators highlighted Apple’s pricing power, strong installed base, and relative insulation from the AI capex arms race as reasons investors are favoring AAPL over some other mega-cap tech names. MarketBeat: Apple Stock Sends Major Warning Signal as Momentum Hits Peak Wall Street Analyst Weigh In A number of equities research analysts recently weighed in on the stock. Robert W. Baird set a $310.00 target price on shares of Apple in a report on Friday, May 1st. HSBC raised Apple from a “hold” rating to a “buy” rating and boosted their price objective for the stock from $260.00 to $366.00 in a report on Thursday, July 16th. Raymond James Financial set a $380.00 target price on Apple in a report on Monday. Royal Bank Of Canada set a $365.00 target price on Apple in a research report on Wednesday, July 15th. Finally, Evercore reissued an “outperform” rating on shares of Apple in a research report on Wednesday, July 8th. One analyst has rated the stock with a Strong Buy rating, twenty-three have assigned a Buy rating, nine have assigned a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $325.71.

Check Out Our Latest Stock Analysis on AAPL

About Apple (Free Report)

Apple Inc (NASDAQ: AAPL) is a multinational technology company headquartered in Cupertino, California, founded in 1976 by Steve Jobs, Steve Wozniak and Ronald Wayne. The company designs, develops and sells consumer electronics, software and services. Over its history Apple has evolved from personal computers to a broad portfolio that spans mobile devices, wearables, home entertainment and digital services.

Apple’s principal hardware products include the iPhone smartphone, iPad tablet, Mac personal computers, Apple Watch wearable devices and a range of accessories such as AirPods and HomePod.

Further Reading Five stocks we like better than Apple Confidence Is Back, But Earnings Show the Consumer Is Being Picky AeroVironment’s Stock Is Down, But Drone Demand Is Taking Off 3M’s Redemption Arc: Can Q2 Earnings Change the Narrative? 3 Photonics Companies Making Quantum Tech Possible Want to see what other hedge funds are holding AAPL? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Apple Inc. (NASDAQ:AAPL – Free Report).

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Apple is launching a device leasing program called ‘Apple Upgrade’ on July 28 in the US to boost sales, Bloomberg News reported on Tuesday, citing people with knowledge of the matter.

The new service arrives as Apple has raised prices on its iPads, MacBooks and other devices except the iPhone, no longer able to shield customers from surging memory and storage chip costs driven by the AI industry’s data-center buildout.

Apple Upgrade will support most iPhone, Mac, iPad and Apple Watch models and the company is partnering with Klarna Group as the financial backer for the program, the report said.

Apple Upgrade will support most iPhone, Mac, iPad and Apple Watch models, according to Bloomberg. Getty Images It will function as a subscription, allowing users to pay off their device early, switch to a new model before their term ends, or retain the device after the leasing period concludes, Bloomberg reported.

The service will be available in both Apple’s physical retail stores and online.

Apple intends to market the program as offering lower payments than its existing financing options, the report said.

The company plans to end new enrollments in its current iPhone payment plans — the iPhone Upgrade Program and standard financing — to clear the way for the new Apple Upgrade initiative.

Unlike the current iPhone Upgrade Program, Apple Upgrade will not include AppleCare.

Some devices, including the Apple Watch SE, the entry-level iPad, the iPhone 16 and the MacBook Neo, will not be eligible for the program, the report said.

Apple Upgrade will be available in the tech giant’s physical retail stores and online. Business and education purchases will also be excluded, according to Bloomberg.

Both Apple and Klarna did not immediately respond to Reuters’ request for comment.

Apple Inc (NASDAQ:AAPL, XETRA:APC) is expected to beat consensus estimates for its fiscal third quarter, according to Bank of America, even as the bank takes a more conservative view of iPhone seasonality tied to a staggered launch schedule.

BofA said investor focus will center on component cost inflation, the durability of gross margins, and the transition following the end of Tim Cook's tenure as CEO.

The bank forecasts fiscal third-quarter revenue of $109 billion and earnings per share of $1.89, above Street estimates of $108 billion and $1.87, implying revenue growth of 16% year over year, compared with Apple's guidance range of 14% to 17%.

BofA said iPhone build plans, including for Pro models, remain robust. However, the analysts have factored in a more conservative outlook given the staggered rollout this cycle: Pro, Pro Max and a foldable model launching in September, with the base model and Air arriving in March.

Higher prices are also part of that calculus. The bank noted the Street may not be fully reflecting this launch timing in its estimates.

On margins, BofA models product gross margin declining 190 basis points sequentially in the June quarter to 36.8%, with a further 280-basis-point drop in the September quarter to 34.1%. The bank views this as transitory, projecting a recovery to 38.5% in the December quarter as new iPhones, including the foldable, launch at higher prices, with a potential added boost from roughly $3 billion in tariff recovery.

Overall company gross margin is modeled at 48.2% for the June quarter, within Apple's guided range of 47.5% to 48.5%.

For fiscal fourth quarter, BofA is well below Street on revenue and earnings, forecasting $106 billion and $1.88 per share against consensus of $114 billion and $2.01, a gap the bank attributes largely to more conservative iPhone unit assumptions tied to the staggered launch.

On services, BofA expects fiscal third-quarter revenue growth of 14% year over year, in line with guidance. App Store growth has slowed, with SensorTower data cited showing 3.2% year-over-year growth in the quarter, down sharply from 9.8% in the prior quarter. BofA expects that softness to be offset by strength in iCloud and licensing.

BofA reiterated its Buy rating on Apple with a price objective of $380, based on 37 times its calendar 2027 estimated EPS of $10.29. The bank also nudged up its fiscal 2027 and 2028 EPS estimates to $9.91 and $10.89, respectively.

Apple reports fiscal third-quarter results after market close on July 30.

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I keep buying Apple (NASDAQ:AAPL | AAPL Price Prediction), and the more I read about what its Magnificent Seven peers are spending on AI, the harder my conviction gets. Every quarter I look at what this company actually does with the cash a phone business throws off, and I add to the position again.

Here is what pulls me back to the buy button. Apple sells hardware and software that hundreds of millions of people already use every day, and it turns that installed base into recurring cash. 2.5B+ active devices is the moat. Apple monetizes intelligence through the phones and Macs already sitting on desks, so it does not need to build a data center empire to justify an AI story.

The Receipts Three data points anchor the position. First, cash generation. Full fiscal 2025 revenue was $416.16B, net income was $112.01B, and operating cash flow reached $111.48B. Buybacks alone consumed $90.71B of that. Q2 FY26 layered on $111.18B in revenue (up 16.6% YoY), EPS of $2.01 beating by 3.59% (the 8th consecutive quarter of beating expectations), a fresh $100B buyback authorization, and a 4% dividend raise to $0.27 per quarter.

Second, the balance sheet. Return on equity of 171.42%, return on invested capital of 53.35%, operating margin of 31.97%, and $147 billion in cash and marketable securities against $85 billion in debt. Third, capex discipline. Apple’s full FY25 capex was $12.7B, and Q1 FY26 capex ran $2.37B, down 19.29% YoY.

Why Not Microsoft or Alphabet Those are the two names a reader reaches for first when they think “AI winner.” Both sit inside the hyperscaler capex curve I want to avoid. Vanguard’s 2026 outlook projects AI scalers will spend roughly $2.1 trillion on capital investment from Q1 2025 through Q4 2027. Goldman Sachs’ 2026 outlook flags that hyperscaler capex plus buybacks and dividends have consumed ~95% of operating cash flows over the last 12 months vs ~80% in 2019, forcing some of them into credit markets to keep the machine running. That is the trap I do not want retirement money exposed to.

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CFO Kevan Parekh drew the line on the Q2 call: “From the start we have believed AI is a really important investment area for Apple Inc., and we are going to be doing that incrementally on top of what we normally invest in our product roadmap.” Incremental. Inside an existing product framework. Tim Cook backs the product side: “Apple Intelligence is woven into the core of our platforms, powered by Apple silicon and designed from the ground up to deliver intelligence that is fast, personal, and private.”

The Real Risk Valuation. Trailing P/E of 41 and forward P/E of 33 leave little margin for error. If iPhone growth stalls, or if Greater China ($20.497 billion in Q2 FY26) turns on tariff or regulatory pressure, this multiple compresses. I hold that risk clearly. What keeps the thesis intact: Services set an all-time record at $30.98B, Greater China grew 28% in the March quarter, and management guided June quarter revenue growth of 14% to 17%. Growth is still on the right side of that multiple.

The buy button stays active because Apple is turning the AI cycle into cash rather than capex, and every quarter the receipts get thicker.

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Contact [email protected] for any questions or corrections.

The artificial intelligence boom has divided Big Tech into two camps. One group is spending at a pace rarely seen in corporate history, pouring hundreds of billions of dollars into data centers, custom chips, and power infrastructure. The other has largely stayed on the sidelines. 

Apple (NASDAQ:AAPL | AAPL Price Prediction) has avoided the AI spending arms race by choosing not to build frontier AI models that compete directly with OpenAI, Google, or Anthropic. That decision has protected its balance sheet while rivals load up on debt to fund ever-larger AI ambitions. Yet new reports suggest there is no free lunch in AI, and Apple’s lower-cost strategy may now be running into its own limits.

A Different Kind of AI Bet The AI capex spending spree numbers are stark:

Company Fiscal 2025 CapEx Fiscal 2026 CapEx Est. Amazon (NASDAQ:AMZN) $131.8 billion $180 billion to $200 billion Alphabet (NASDAQ:GOOG) $91.4 billion $180 billion to $190 billion Meta Platforms (NASDAQ:META) $72.2 billion $125 billion to $145 billion Microsoft (NASDAQ:MSFT) $64.6 billion $190 billion Apple $12.7 billion $14 billion Amazon, Alphabet, Meta Platforms, and Microsoft collectively spent $360 billion on capital expenditures in 2025, with Wall Street expecting another wave of spending through 2027 as each races to build larger AI infrastructure.

Apple took the opposite approach. Rather than chasing the most powerful foundation models, it focused on integrating AI features into its hardware ecosystem while relying on partners for many cloud-based capabilities. The strategy preserved Apple’s financial flexibility and helped it avoid the debt financing increasingly appearing across Big Tech as AI investments accelerate.

From a shareholder perspective, that restraint has been refreshing. Apple’s balance sheet remains one of the strongest in technology, and it hasn’t needed to match competitors dollar for dollar simply to stay in the AI race.

While rivals pour $360 billion into an AI arms race, Apple’s frugal strategy just hit a technical limit—forcing a high-stakes pivot to catch up. © 24/7 Wall St. The Cheap Path Isn’t Free That said, avoiding massive capital expenditures doesn’t eliminate the need for AI infrastructure.

According to The Information, Apple’s internally developed M2 Ultra chips have fallen short for the most demanding AI workloads. Instead of relying exclusively on its own silicon, the company has reportedly turned to Nvidia (NASDAQ:NVDA) accelerators hosted by Google to run portions of its AI computing needs. Reuters separately reported that Apple is now exploring acquisitions of AI chip startups to strengthen its in-house capabilities.

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So, Apple saved billions by avoiding a data-center construction spree, but if its existing chips cannot efficiently support next-generation AI models, the company still has to spend somewhere. Rather than building thousands of AI servers, it may instead acquire the technology and engineering talent needed to close the performance gap.

Ironically, Apple may simply be replacing capital expenditures with mergers and acquisitions. Yet investors shouldn’t assume Apple’s acquisition strategy will become as expensive as the infrastructure race underway at Amazon, Microsoft, Alphabet, and Meta. Buying specialized semiconductor startups is unlikely to approach the hundreds of billions those companies are investing in AI data centers, networking equipment, and custom silicon.

Still, the reports highlight an important reality: there is no inexpensive shortcut to competing in modern AI.

Key Takeaway In short, Apple’s conservative AI strategy has protected its financial position while competitors are committing to spending hundreds of billions of dollars annually. That discipline deserves credit. 

Yet reports that Apple’s M2 Ultra chips have struggled with today’s most advanced AI workloads — and that the company is now pursuing AI chip acquisitions — suggest the cost of remaining competitive may simply shift from capital expenditures to M&A. For long-term investors, that’s still a preferable position to funding an open-ended infrastructure arms race. But it also confirms that even Apple cannot escape the enormous investment required to compete in artificial intelligence.

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Contact [email protected] for any questions or corrections.

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Apple filed a trade secrets lawsuit against OpenAI last Friday, and it’s not messing around. The complaint alleges a pattern of misconduct reaching all the way up to OpenAI’s chief hardware officer and claims more than 400 former Apple employees now work at the company. OpenAI’s response so far has been carefully hedged, and the timing couldn’t be worse with the company reportedly eyeing an IPO as early as later this year. 

On this episode of TechCrunch’s Equity podcast, hosts Kirsten Korosec, Anthony Ha, and Sean O’Kane dig into what the lawsuit could mean for OpenAI’s own hardware ambitions and IPO timeline, plus a bigger theme running through the week’s news: how much should anyone trust AI companies with their data? 

Subscribe to Equity on YouTube, Apple Podcasts, Overcast, Spotify and all the casts. You also can follow Equity on X and Threads, at @EquityPod. 

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Theresa Loconsolo is an audio producer at TechCrunch focusing on Equity, the network’s flagship podcast. Before joining TechCrunch in 2022, she was one of 2 producers at a four-station conglomerate where she wrote, recorded, voiced and edited content, and engineered live performances and interviews from guests like lovelytheband. Theresa is based in New Jersey and holds a bachelors degree in Communication from Monmouth University.

You can contact or verify outreach from Theresa by emailing [email protected].

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By PYMNTS  |  July 17, 2026

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Apple sent letters to about 40 former employees who now work at OpenAI, demanding that they preserve documents and communications and meet with Apple lawyers, the Financial Times reported Friday (July 17), citing unnamed sources.

The move is part of Apple’s efforts to secure evidence for the lawsuit it filed last week against OpenAI and two of the artificial intelligence company’s employees, alleging that they stole trade secrets, according to the report.

About 400 former Apple employees now work at OpenAI, per the report.

Neither Apple nor OpenAI immediately replied to PYMNTS’ request for comment.

Apple filed its lawsuit July 10, alleging that OpenAI, Chief Hardware Officer Tang Tan and technical staff member Chang Liu stole trade secrets from Apple to support OpenAI’s development of devices. Tan and Liu are former Apple employees.

Apple said in the lawsuit that it doesn’t know what OpenAI did with the information it alleges was stolen by Tan and Liu but claimed that “at every level, from members of its technical staff to its chief hardware officer, and in coordination with business partners, OpenAI has been stealing Apple’s trade secrets and confidential information.”

With its lawsuit, the company is demanding that OpenAI stop the practices alleged in the suit, destroy any proprietary materials and redesign its upcoming products so that they don’t use any Apple technology.

In a July 10 post on social platform X, OpenAI Director of Strategic Communications Drew Pusateri said: “We have no interest in other companies’ trade secrets. We remain focused on building innovative technology that empowers people everywhere.”

Our statement in response to this suit: We have no interest in other companies’ trade secrets. We remain focused on building innovative technology that empowers people everywhere. https://t.co/lIxGW6hyz5

— Drew Pusateri (@drewpusateri) July 10, 2026

It was reported Sunday (July 12) that Apple’s lawsuit came as the tech world scrambles to develop AI-powered devices that go a step beyond the smartphone and that the winner of this race could play the same role Apple now plays in the consumer market.

OpenAI released its first hardware product Wednesday (July 15). The product is a $230 programmable macropad for developers managing AI coding agents.

It was reported Tuesday (July 14) that the company is developing a portable smart speaker that serves as an AI companion. OpenAI aims to reveal the device this year and launch it in 2027.

Shares of Apple (AAPL +3.95%) jumped to a record high on Wednesday, following some positive developments for the tech titan.

Image source: The Motley Fool.

More AI models could be coming to the iPhone On Tuesday, CNBC reported that Apple was evaluating innovative technology that could shrink large artificial intelligence (AI) models to run directly on an iPhone.

PrismML, a tiny Silicon Valley start-up, licenses the technology from the California Institute of Technology. PrismML CEO Babak Hassibi said Apple is testing the tech's performance on its devices.

If those tests prove successful, Apple could bring the power of advanced AI models to iPhone users. It could also help Apple reduce its cloud computing costs if AI applications can run directly on its devices.

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And on Wednesday, news broke that the Cyberspace Administration of China would allow Apple to provide AI services in the populous country.

Chinese e-commerce and cloud giant Alibaba will integrate its Qwen AI model into Apple Intelligence. Baidu, China's internet search leader, will also work with Apple to develop AI features for its devices.

Apple's AI strategy is emerging Apple has largely stayed out of the AI model race, much to the benefit of its shareholders.

Rather than spending tens and even hundreds of billions of dollars to compete with model makers like OpenAI and Anthropic or hyperscalers like Google and Meta Platforms, Apple has sought to partner with AI leaders to bring their innovations to its users.

It's a smart, cost-effective strategy. And these recent developments are beginning to show that Apple can still benefit from AI without incurring massive costs.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet, Apple, Baidu, and Meta Platforms. The Motley Fool recommends Alibaba Group. The Motley Fool has a disclosure policy.