Copyright Benzinga
Technology giant Apple Inc (NASDAQ:AAPL) will share initial demand and revenue figures for the iPhone 17 when the company reports fourth-quarter financial results Thursday after market close. Here are the earnings estimates, what experts are saying ahead of earnings and key items to watch. Earnings Estimates: Analysts expect Apple to report fourth-quarter revenue of $102.12 billion. That’s up from $94.93 billion in last year's fourth quarter, according to data from Benzinga Pro. The company has beaten analyst estimates for revenue in 10 straight quarters. Analysts expect Apple to report fourth-quarter earnings per share of $1.77, up from $1.64 in last year's fourth quarter. The company has beaten analyst estimates for earnings per share in 10 straight quarters. Read Also: Retail Investors’ Top Stocks With Earnings This Week: SoFi, Apple, Meta And More What Experts Are Saying: Analysts have been mostly bullish ahead of Apple's fourth quarter results, with some raising their price targets. Freedom Capital Markets Chief Market Strategist Jay Woods said the report comes with Apple shares "one a tear" ahead of the financial results. "While the stock is only up 7.8% on the year, it just broke out to new all-time highs last week and has rallied 23% over the last three months," Woods said in a weekly newsletter. Woods said the iPhone 17 will be the key in the quarter, along with an update on demand in China. "Reports of better-than-expected iPhone 17 sales continue to bring optimism as the refresh cycle seems to be going well." Despite pressure from the Chinese market and few AI updates, Woods says “momentum seems strong” ahead of the report. Robust iPhone 17 demand and easing headwinds in Apple's Services segments are keys in the quarterly results, Evercore ISI analyst Amit Daryanani said in a recent investor note. The analyst maintained an Outperform rating and a $290 price target. Daryanani expects total revenue to be up 8.6% quarter-over-quarter with Services revenue growing at a double-digit rate. The analyst said Apple will likely have more iPhone momentum ahead in the first quarter, with consumer surveys showing strong demand to upgrade phones. Increased iPhone demand and stabilization around other Apple business segments may be rebuilding investor confidence heading into earnings, JPMorgan analyst Samik Chatterjee said in a recent analyst note. The analyst has an Overweight rating and raised the price target from $280 to $290 recently. Chatterjee said Apple has its strongest investor sentiment in a year. The analyst said an upcoming foldable iPhone could help increase investor confidence and the valuation for the company going forward. Wedbush analyst Dan Ives said recently that Apple has a "hit" with the iPhone 17 seeing strong demand. Looking forward, Ives points to the next catalyst for Apple. "Now it's the AI roadmap," Ives said. Key Items to Watch: All eyes will be on iPhone 17 sales and demand with the latest version of the smartphone launching on Sept. 19. While the revenue from the iPhone 17 will play key in fourth-quarter results, the demand could factor more into first-quarter results with the holiday and after backlogs that lasted weeks for some models. Another key in the quarter will be the company's active installed based of device, which set a new al-time high in the third quarter and has trended higher in recent quarters. Services will be another key area to watch for investors and analysts. Apple's streaming platform could be a key topic with the company recently changing the name of the platform to Apple TV, raising prices recently and landing the rights to future Formula 1 races. The company is also among the names listed as potential suitors for Warner Bros. Discovery assets. Apple is in a unique position, as it’s one of the five Magnificent 7 stocks releasing financial results this week. The report’s results and guidance could ripple across the entire stock market. The company is also a top member of the Dow Jones Industrial Average. It makes up 3.4% of assets in the SPDR Dow Jones Industrial Average ETF (NYSE:DIA). The company is also a top component of the S&P 500. It makes up the second most prominent position in the SPDR S&P 500 ETF Trust (NYSE:SPY) at 6.8% of assets. In the Invesco QQQ Trust (NASDAQ:QQQ), which tracks the Nasdaq 100, Apple is the second-largest holding at 8.3% of assets. AAPL Price Action: Apple stock trades at $268.79 on Tuesday. Shares hit a new 52-week high of $269.89 during Tuesday's trading session. The stock is up 10.2% year-to-date in 2025. Read Next: Nancy Pelosi Ditches Apple Stock Right Before Q4 Earnings – But There’s A Catch Image: Shutterstock
