Apple reported a strong June quarter with reaccelerating growth and record services revenue. The company’s record installed base supports ongoing monetization, while capital returns and upcoming product updates strengthen the long-term case. Shares are climbing ahead of Tuesday’s product launch event, indicating continued momentum in both the business and stock performance.

In the third quarter of 2025, Apple’s revenue increased by 10% to $94 billion, with diluted earnings per share up by 12% to $1.57. The company achieved June-quarter records for total revenue, iPhone revenue, and earnings per share, with an all-time high in services revenue. Services revenue reached $27.4 billion, underscoring the value of recurring, high-margin revenue streams.

Apple’s growth is improving, with fiscal Q3 revenue up by 10% compared to the previous year. The company generated $29 billion in operating cash flow in the third quarter, with a new $100 billion share repurchase program authorized. The business mix is shifting towards recurring, high-margin activities like services, supported by a growing device footprint.

Looking ahead, Apple’s record installed base is key, with each device creating touchpoints for services monetization. Despite concerns about valuation and risks such as macroeconomic pressures and regulatory scrutiny, the company’s strong growth, increasing services revenue, and upcoming product event make it a top stock to buy. The market volatility around the event presents an opportunity for investors.

Considerations for investing $1,000 in Apple include the company’s strong momentum, record services revenue, and upcoming product event. The Motley Fool Stock Advisor team has identified 10 best stocks to buy now, excluding Apple, that could offer significant returns. Historical performance of top stock picks underscores the potential for substantial growth in the coming years, making it a compelling opportunity for investors to explore.

Read more at Nasdaq: Why Apple Is My Top Stock to Buy Right Now