Apple stock hits new record high
Apple announced strong financial results for the fourth quarter of fiscal year 2025, exceeding analysts' expectations, with indications of even greater growth in the current quarter, supported by rising iPhone sales.The company’s financial report, issued after the close of trading on Thursday, indicated that revenue rose by 8% during the three months ending on September 27, while earnings per share increased by 13% compared to the same period last year.
What’s happening:-
Shares of Apple rose sharply in after-hours trading on Thursday, following the release of the company’s fiscal fourth-quarter results.
What happened:-
The iPhone maker posted better-than-expected sales and earnings for the latest quarter.Apple also issued strong guidance for iPhone sales and total revenues for the holiday quarter, which sent the stock to fresh highs.
Apple shares rose more than 2% before the Wall Street open
How were the results:-
The Cupertino, California-based company reported single-digit sales growth for the fourth quarter. Revenue rose 8% year-over-year to $102.47 billion, beating consensus estimates of $102.17 billion. Earnings came in at $1.85 per share, surpassing Wall Street expectations of $1.76 per share.
Why it matters:-
The tech giant has a strong history of beating market expectations and has now topped estimates on both top- and bottom-lines in 11 consecutive quarters.Although continued supply constraints and delays in shipment of the latest phones to China resulted in Apple missing iPhone sales expectations in the quarter, strength in other areas helped the company surpass market estimates.Sales in the Americas came in at $44.19 billion, Europe sales were $28.7 billion. Sales in Greater China were approximately $14.49 billion and Japan sales were $6.64 billion.Product revenue surged to $73.72 billion, from $69.96 billion in the year-ago quarter, while Services revenue climbed to $28.75 billion, from $24.97 billion.
Apple stock rises
iPhone sales surged to $49.03 billion but came in short of market estimates of $50.19 billion. iPad sales rose slightly to $6.952 billion.Apple also said that its active installed base of devices had surged to new record highs in all product categories and geographies.“Today, Apple is very proud to report a September quarter revenue record of $102.5 billion, including a September quarter revenue record for iPhone and an all-time revenue record for Services,” CEO Tim Cook said.Apple guided to double-digit growth in iPhone sales and 10%-12% growth in total revenues in the holiday quarter.
Apple Stock
How shares responded:-
Apple’s shares jumped 2.3% to $277.75 in after-hours trading on Thursday following the release of quarterly results. The stock has risen around 28% over the past six months.
What to watch:-
Investors will keep an eye on the new iPhone Air and iPhone Pro models, which are expected to provide a significant boost to the company’s overall sales in the final quarter of the year.
AI competition and global rankings
Apple is the third company to reach the $4 trillion mark, after Nvidia and Microsoft. Nvidia currently tops the list with a market capitalization exceeding $4.5 trillion. Microsoft rejoined this exclusive club after its shares rose 2.2 percent following a deal with OpenAI that allows the chatGPT maker to restructure itself into a public benefit corporation.