Apple is set to report earnings tonight!
The market expects Apple’s earnings per share this quarter to come in at around $1.98–$1.99.
There are a few key figures worth watching in this earnings report:
iPhone: Apple’s core source of revenue. Focus on sales of new models and the performance of high-end models;
Services: Can the App Store, iCloud, and other services continue to grow?
AI: Can Apple Intelligence really drive users to upgrade their devices and spend more on services?
Ultimately, the iPhone determines how much Apple can earn today, Services determines how stable its profits can be, and AI will shape how much room it has to grow in the future.
I'm personally somewhat optimistic about this earnings report, but there's no need to get carried away.
After all, Apple isn't short on users or an ecosystem. What it really needs to prove is whether AI can translate into actual revenue.
If both revenue and EPS beat expectations, and next quarter's guidance is strong, the stock could still deliver a surprise.
But if EPS beats by only a few cents, that may not be enough to get the market excited.
Tonight, the focus is on the results—but even more importantly, on how Apple plans to tell its growth story going forward.
