NEW YORK, Jan 27, 2026, 09:32 (EST) — Regular session
- Apple shares climbed roughly 1.7% early Tuesday, building on Monday’s nearly 3% surge
- JPMorgan raises its Apple target to $315, while Jefferies lowers it to $276.47 ahead of the January 29 earnings report
- Traders are gearing up for the Fed’s decision on Wednesday, alongside a heavy roster of mega-cap earnings reports
Apple Inc shares climbed 1.7% to $259.73 in early Tuesday trading, building on a 3% gain from Monday. The stock closed Monday at $255.41, after fluctuating between $249.80 and $256.56 on volume near 56 million shares. On Tuesday, it was last seen trading in a range between $258.66 and $260.13.
Investors are gearing up for a packed week featuring mega-cap earnings and a Federal Reserve decision that could shift the outlook for rate-sensitive tech stocks. Microsoft, Meta Platforms, and Tesla all report on Wednesday. The Fed is widely expected to keep rates steady but its commentary might still influence market direction.
Spending on artificial intelligence remains a key drag. Big Tech plans to boost AI budgets by 30%, pushing totals beyond $500 billion this year. Reuters highlighted a recent Alphabet deal aimed at powering Apple’s updated Siri. “Proprietary ecosystems, such as Apple and Search in Google, are tough to penetrate,” noted David Wagner, head of equities at Aptus Capital Advisors. Reuters
JPMorgan analyst Samik Chatterjee bumped his Apple price target to $315 from $305, according to MarketScreener. Keep in mind, a price target reflects where an analyst expects a stock to land within a year—it’s not a guarantee.
Jefferies analyst Edison Lee remained cautious, maintaining a Neutral rating while cutting his price target to $276.47 from $283.36, according to MarketScreener. These mixed calls highlight just how close the debate is ahead of earnings.
JPMorgan raised its target for Apple, citing “higher earnings power” and a “key product cycle” set for later this year, according to a note obtained by AppleInsider. The bank projects fiscal first-quarter revenue at $139.8 billion, with $80.2 billion coming from iPhone sales. It also expects services — including the App Store and iCloud — to come in slightly below the average analyst forecast. Gross margin is estimated around 47.6%, while memory-price increases are likely to stay manageable thanks to long-term supply contracts. AppleInsider
Jefferies highlighted a slowdown in services, referencing Sensor Tower data that showed App Store revenue rose roughly 7% in the December quarter—the weakest growth in seven quarters. The firm noted Apple shares have dropped about 13% since peaking on Dec. 2 and are down nearly 8.8% year-to-date. It put the stock’s P/E ratio near 33, suggesting that valuation could keep the shares stuck in a range.
The downside is clear: a cautious outlook on iPhone demand or services can hit hard when investors are valuing Apple at a premium multiple — the price paid per dollar of earnings. If interest rates remain elevated for an extended period, the market usually grows less tolerant of that valuation.
Apple will announce its earnings Thursday, Jan. 29, as investors focus on iPhone sales and the services segment, looking for clues on demand heading into spring. Before that, the Fed delivers its rate decision Wednesday, providing one last major market test ahead of Apple’s report.
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