After the revenue of Apple (AAPL) defeated the analyst's prediction in the first quarter of revenue, Wall Street analysts seemed to be relieved, and the company's explanation of the decline in China's iPhone sales alleviated their anxiety.
Apple reported on Thursday that the earnings per share were US $ 2.40, with revenue of US $ 124.3 billion, which was higher than $ 2.35 per share. It is expected that analysts' revenue is US $ 124.1 billion. At the same time, Apple's iPhone's iPhone revenue decreased 11 % compared with the previous year, and China's total sales exceeded Wall Street expectations.
But Apple CEO Tim Cook Analysts. In other words, the company has strategically reduced the number of iPhone that transports them to large Chinese suppliers. The decline is not necessarily due to weak demand.
In fact, what he said is exactly the opposite: "(P) the reason for art is that our sales are a bit higher than the end of this quarter. Therefore, our ending is a bit thinner than we expect."
JPM Chase (JPM) analyst Samik Chatterjee raised its price target from Apple from $ 260 to $ 270, reiterating his buying rating and pointing out Cook's comments. Chategi also pointed out that China's subsidies announced in late January can support the sales of the region.
Cook also said that Apple intelligence helps to promote the upgraded iPhone, which shows that if the Chinese government approves AI functions and when to obtain AI functions, China's sales may be enhanced.
Citi (C) Atif Malik also maintains a rating of stocks and pointed out that the result is "better than worry."
He added: "It is important that the AAPL comment shows that the initial area of the iPhone AI function has better performance than other GEOS should support the emotions of stocks." Apple's stock price rose 3 % earlier on Friday.
Raymond James (RJF) analyst Srini Pajjuri suggested that Apple is better driving an AI bubble than its magnificent 7 peers: "We believe that Apple is in view of the strength of its ecosystem, hardware functions and privacy power, which can provide EVE EVICE EVICE AI function ".
"Equipment AI has a low demand for capital expenditure and provides faster monetary potential through consumer hardware upgrades. We believe that this makes AAPL stocks particularly attractive when the debate around Genai Monetization/ROI continues."
Large -scale technology stocks have plummeted earlier this week because China's AI model expressed doubts about the company's basic principles for the company's basic principles. These basic principles are related to the establishment of data center infrastructure to support artificial intelligence capital expenditure. Million dollars.
Apple is considered backward in the Big Tech AI competition, which is more wise than its MAG 7.
Cook said to analysts: "(F) ROM is the point of view of capital expenditure. We always adopt very cautious and intentional ways to spend." The hope proposed by the model, the news of Apple Stock has risen, hopes Cheaned and cheaper AI applications can enhance the use of iPhone.
Morgan Stanley (MS) analysts wrote this week: "Apple AI's ambitions are much more contained than MAG 7 (or other border model developers)."
But last week, Apple was reduced to the poorly performed Jefferies (Jef) analyst Edison Lee more skeptical than his peers on Wall Street.
"When AI services are attractive to smartphones, it is unclear. Therefore, we still believe that the market expectations for the iPhone's upgrade cycle in the next two years are too high."
Laura Bratton is a reporter of Yahoo Finance. Follow her on Bluesky @Laurabratton.bsky.social. Send her an email to laura.bratton@yahooinc.com.
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