Apple Stock Crosses $352 to Set Fresh Record Despite Rising Costs
Key Takeaways
- •Apple shares traded at an intraday record of $352.22 on November 4, exceeding the prior peak of $351.74 and pushing the company's market capitalization to about $5.12 trillion.
- •Apple reported fiscal fourth-quarter revenue of $114.5 billion, up 12% year over year, with record September-quarter iPhone sales, record services revenue, and Mac sales growth of 24%, capping a fiscal year of roughly $479 billion in total revenue.
- •Apple raised its manufacturing purchase commitments by $33 billion to $89.7 billion and warned that higher memory prices will push December-quarter gross margin down to a forecast 45-46% from 47.9%, with revenue expected to grow 7% to 10%.
- •Analyst price targets now range from $295 at DA Davidson to $400 at Wedbush, with Bernstein raising its target to $380 while trimming fiscal 2027 and 2028 estimates, and JPMorgan lowering its target to $355 on services revenue and margin concerns.
- •The rally followed Apple's October 28 announcement of the redesigned MacBook Pro featuring touchscreen controls, updated processors, and an OLED display, with preorders opening that day and a retail release set for November 6.
Apple (AAPL) stock climbed above its previous record of $351.74 on Wednesday, November 4, with shares quoted at $352.22 in trading. The move pushed the iPhone maker's market capitalization to approximately $5.12 trillion, according to Investing.com, a level that keeps Apple among the most valuable publicly traded companies in the world. The reported price was an intraday quote rather than an official closing figure.
Apple shares have gained 30.02% over the past year. Wednesday's record-level quote followed the company's most recent quarterly earnings release, the introduction of new products, and a series of upward and downward revisions to price targets across Wall Street.
Apple Stock Moves Beyond Previous Peak
Wednesday's rally reversed part of Tuesday's decline, when the shares closed at $331.90 as investors weighed concerns about rising costs. The quoted level represented a gain of more than 6% from Tuesday's close.
The rebound followed last week's MacBook Pro announcement. Apple introduced the redesigned laptop on October 28, adding touchscreen controls, updated processors, and an OLED display. The company opened preorders the same day and set November 6 as the retail release date. Shares finished lower on the announcement day.
Quarterly Revenue Rises as Costs Increase
Apple reported fiscal fourth-quarter revenue of $114.5 billion, up 12% from a year earlier. Earnings reached $2.10 per share, and iPhone sales set a record for a September quarter. The September quarter marked the end of Apple's fiscal year, which produced approximately $479 billion in total revenue. Services revenue reached a new record, while Mac sales grew 24%.
The company's manufacturing purchase commitments increased by $33 billion to $89.7 billion during the September quarter. Purchase commitments of this kind are forward agreements to buy components from suppliers. In its outlook, the company said it expects higher memory prices to affect December-quarter results. It forecast a gross margin of 45% to 46% for that period, compared with 47.9% in September. December-quarter revenue is expected to grow 7% to 10% from the year-ago period. Those guidance figures give readers a concrete benchmark to measure against when Apple reports December-quarter results.
Analysts Raise and Lower Apple Targets
Analyst reactions to the results were split, with several firms adjusting their price targets. Bernstein raised its Apple stock price target from $370 to $380, citing potential demand for AI services and market share gains in phones and computers. However, the firm trimmed its earnings estimates for fiscal 2027 and 2028. Bernstein maintained its Outperform rating.
Other firms also updated their targets:
- Evercore ISI kept its target at $380 and maintained an Outperform rating.
- Wedbush maintained its $400 target, pointing to Apple's sales outlook.
- DA Davidson increased its target to $295.
- JPMorgan lowered its target to $355 because of concerns about services revenue and margins.
The revised targets now span from $295 to $400, a range that brackets the $352.22 quote recorded Wednesday.
Separately, the New York Stock Exchange announced that additional partners have joined its planned tokenized stock trading platform, an initiative built around 24/7 trading of tokenized equities. The exchange has not named Apple as a planned listing on that platform.
This article originally appeared on Blockonomi.
