- Apple’s revenue growth has accelerated, with a 6% increase in fiscal 2025 compared to 2% in the previous year. This growth is driven by both hardware and services revenue.
- The current iPhone 17 cycle is boosting revenue, with double-digit growth in the third and fourth quarters of fiscal 2025. Management expects double-digit growth in iPhone revenue for the upcoming holiday season.
- Apple’s services business, which includes the App Store and other services, grew 15% in the fourth quarter of fiscal 2025 and represented nearly 30% of total revenue. This shift towards higher-margin services contributes to overall profitability.
- Apple’s guidance for the current quarter indicates a 10-12% year-over-year revenue growth, with double-digit growth expected in iPhone revenue. This sustained momentum signals a strong product and earnings cycle.
- The potential for artificial intelligence to drive another hardware upgrade cycle is a future catalyst for Apple. With investments in AI-related research and development, Apple is positioned to capture demand for smarter devices and new product lines enabled by AI.
Read more at Nasdaq: 5 Reasons I Still Love Apple Stock, Even After It Soared Higher