Apple is set to release its fiscal first-quarter 2026 earnings report on Jan. 29. Expect record sales led by the iPhone, with double-digit services revenue growth. The stock is down but considered fairly valued at $240 per share. Morningstar assigns Apple a wide economic moat rating due to customer switching costs and design prowess.

Apple has a strong balance sheet with a net cash position of $34 billion and impressive cash flow generation. The firm aims to become cash neutral eventually. However, it faces medium uncertainty due to reliance on consumer spending and geopolitical risks in its supply chain. Apple is committed to carbon neutrality by 2030.

Bulls believe Apple’s ecosystem generates strong profitability and appreciate the in-house chip development. Bears are concerned about consumer preferences, supply chain concentration in China and Taiwan, and regulatory risks. Morningstar’s analysis points to Apple’s strategic strengths and potential risks in the market.

Read more at Morningstar: Ahead of Earnings, Is Apple Stock a Buy, a Sell, or Fairly Valued?