NEW YORK, Jan 30, 2026, 04:56 (ET) — Premarket
- Apple shares rose roughly 0.6% in premarket trading following the company’s earnings beat and raised guidance.
- Management warned that supply constraints and higher memory costs are the next hurdles to watch.
- According to a Nikkei Asia report, Apple might push back the release of its standard iPhone 18, focusing more on its premium versions.
Apple shares gained around 0.6% to $258.28 in premarket action Friday, following a close near $256.67 the day before. The iPhone giant carries a market cap close to $3.0 trillion and trades at an earnings multiple near 30.
This move is significant since Apple’s earnings continue to influence large parts of the U.S. market. As one of the heaviest components in key indexes, even minor shifts can ripple through index futures and sector allocations.
Investors are less focused on the demand figures now and more on the price of meeting that demand. Gross margin — the portion of sales remaining after direct production costs — has turned into a battleground as component supplies tighten once more.
Apple announced Thursday that its quarterly revenue hit $143.8 billion, with earnings per share coming in at $2.84. CEO Tim Cook described the results as a “remarkable, record-breaking quarter,” noting the installed base of active devices surpassed 2.5 billion. CFO Kevan Parekh highlighted nearly $54 billion in operating cash flow and confirmed a dividend payout of $0.26 per share scheduled for Feb. 12. (Apple)
Apple offered a stronger near-term outlook than Wall Street expected, projecting fiscal second-quarter revenue growth between 13% and 16%, with a gross margin of 48% to 49%. CEO Tim Cook told Reuters iPhone demand was “simply staggering.” The company reported iPhone revenue surged to $85.27 billion, while sales in Greater China jumped 38% to $25.53 billion. Shares climbed as much as 3.5% following the announcement before trimming gains. Management noted ongoing processor supply constraints and forecast operating expenses of $18.4 billion to $18.7 billion. Wearables sales fell short, hit by AirPods Pro 3 supply hiccups. eMarketer analyst Jacob Bourne emphasized that services momentum will become “even more vital” if hardware margins tighten. (Reuters)
Nikkei Asia reported that Apple is focusing on its three top-tier iPhone models for 2026, including what would be the company’s first foldable iPhone. The standard iPhone 18, meanwhile, is expected to arrive in the first half of 2027. Reuters was unable to verify the report immediately, and Apple did not respond to requests for comment outside regular hours. An executive from an iPhone supplier told Nikkei that ensuring supply-chain “smoothness” remains a major hurdle. (Reuters)
Memory is another area feeling the strain. Apple has noted that rising memory chip prices are starting to weigh on the current quarter, as chipmakers shift capacity toward higher-margin AI-related memory. Samsung and SK Hynix have both flagged tighter supplies of DRAM, the kind used in phones and PCs. Research firms now expect this squeeze to dampen device unit forecasts for the year. (Reuters)
Megacap tech stocks faced pressure as concerns over spending and margins resurfaced. The Nasdaq dropped 0.72% on Thursday, with tech shares leading the downturn. Microsoft’s roughly 10% plunge shook investors already uneasy about hefty budgets and unclear returns. (Reuters)
Still, those strong headline figures don’t erase the immediate risk: if supply bottlenecks persist or memory prices rise faster than Apple can handle, margins could shrink despite solid unit sales. And should the company be forced to raise prices to maintain profits, it could put that demand under pressure.
Traders are set to analyze U.S. producer price data arriving at 8:30 a.m. ET. This report often moves bond yields and, in turn, influences the valuation of high-multiple tech stocks. (Bls)
