What to Expect From Apple’s Q2 2025 Earnings Report
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With a market cap of $3 trillion, Apple Inc. (AAPL) is one of the world’s most valuable and influential technology companies, renowned for its innovative products, sleek design, and tightly integrated ecosystem. Headquartered in Cupertino, California, Apple designs, manufactures, and markets consumer electronics, software, and digital services. It is expected to announce its fiscal second-quarter earnings for 2025 after the market closes on Thursday, May 1.
Ahead of the event, analysts expect AAPL to report a profit of $1.60 per share on a diluted basis, up 4.6% from $1.53 per share in the year-ago quarter. The company has consistently surpassed Wall Street’s EPS estimates in its last four quarterly reports.
Its EPS of $2.40 surpassed the consensus estimate by 1.7% in the previous quarter due to strong performance in its high-margin Services segment, resilient iPhone sales despite a challenging macroeconomic backdrop, and effective cost management.
For the current year, analysts expect AAPL to report EPS of $7.22, up 7% from $6.75 in fiscal 2024. Its EPS is projected to climb 11.2% annually to $8.03 in fiscal 2026.
AAPL stock is up 13.2% over the past 52 weeks, outpacing the S&P 500’s ($SPX) 3.2% gains and the Technology Select Sector SPDR Fund’s (XLK) 5% fall over the same time frame.
Apple shares plunged over 25% in the first week of April as investors reacted sharply to escalating U.S.-China tariff tensions. With the U.S. imposing tariffs approaching 150% on Chinese imports, concerns mounted over Apple’s heavy reliance on China for both manufacturing and sales. Analysts warned of soaring iPhone production costs, weakening margins, and collapsing demand if Apple passed those costs to consumers.
However, the stock rebounded more than 15% on April 9 after markets interpreted a possible softening in trade policy as a sign of temporary relief.
Analysts’ consensus opinion on AAPL stock is reasonably hopeful, with a “Moderate Buy” rating overall. Out of 36 analysts covering the stock, 18 advise a “Strong Buy” rating, four suggest a “Moderate Buy” rating, 11 give a “Hold” rating, and three recommend a “Strong Sell.”
The average analyst price target for AAPL is $244.11, indicating a 23.2% potential upside from the current levels.
On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
