NEW YORK, Jan 26, 2026, 11:27 EST — Regular session
- Apple shares climbed roughly 2.8%, reaching $255.07 in morning trading, after touching a high of $255.49.
- Morgan Stanley flagged that demand for the iPhone 17 might push Apple’s December-quarter revenue beyond its current forecast.
- Apple’s Jan. 29 earnings and guidance are in the spotlight, alongside the Fed’s moves this week.
Apple shares gained momentum on Monday, jumping roughly 2.8% to hit $255.07 by mid-morning, after briefly soaring to an intraday peak of $255.49.
The shift thrust the iPhone maker into the spotlight during a pivotal week for U.S. megacaps. Wall Street’s leading indexes climbed as investors braced for a flood of major tech earnings and a Federal Reserve policy announcement, with forward guidance expected to drive moves in richly valued tech stocks. (Reuters)
Apple plans to release its fiscal first-quarter earnings on Thursday, Jan. 29, followed by a conference call at 5:00 p.m. ET. Investors will be watching closely for updates on holiday iPhone sales and the performance of its high-margin services, which have provided some stability amid hardware fluctuations. (Apple)
Morgan Stanley analyst Erik Woodring told clients that December-quarter revenue growth “could exceed” management’s 10% to 12% year-on-year forecast, mainly fueled by strong demand for the iPhone 17. He also expects the March-quarter revenue outlook to “surpass” Wall Street’s estimates but warned that higher operating expenses and memory-related margin pressure might limit earnings gains. Woodring predicts the shares will trade “sideways to modestly lower” after the results and maintained an Overweight rating with a $315 price target. (Investing)
Investors are zeroing in on that combination — solid revenue paired with shakier margins. A clear beat might send the stock higher briefly. But it’s the tone for the next quarter that tends to hold sway.
Investors are also looking for clearer insight into services momentum, particularly in the App Store, as regulators and developers keep pressing on fees and distribution. For Apple, the composition of revenue matters more than just one quarter’s figures.
Costs remain the key risk here. Memory chip prices are climbing as AI data center demand soaks up supply. Analysts warn device makers face a tough call: absorb margin losses or hike prices. Morningstar’s William Kerwin pointed to Apple as “better-positioned” thanks to contract pricing, but he cautioned the company “isn’t immune.” A Reuters report also highlighted forecasts for memory prices to surge 40% to 50% in Q1. (Reuters)
If Apple opts to raise prices, investors will be watching closely to see how much demand holds up—especially since consumers are already hesitant to pay top dollar for premium phones. Should Apple decide to absorb those higher costs instead, the spotlight moves to its gross margin, the profit remaining after covering product expenses.
Elsewhere, this week’s packed with macro data. Shifts in rate expectations can swiftly rattle tech valuations, even if company updates remain clear-cut.
The trigger this week is Thursday’s Apple report. Investors want to hear the outlook for the March quarter, any updates on component costs, and whether management seems more upbeat about the product cadence for the rest of 2026.
