Zacks Investment Ideas feature highlights: Apple

For Immediate ReleaseChicago, IL – January 29, 2025– Today, Zacks Investment Ideas feature highlights Apple AAPL.Apple Earnings: Should Investors Take a Bite?This week's reporting docket is headlined by many notable companies, a list that includes beloved Mag 7 member Apple. Shares have had a rough showing in 2025 so far, down roughly 8% and widely underperforming relative to the S&P 500.But can the tech titan's results push some life back into shares? Let's take a closer look at revisions and a few other key metrics to keep an eye on.Earnings & Sales Revisions Primarily UnchangedAnalysts have been quiet concerning their EPS revisions, with the $2.36 Zacks Consensus EPS estimate unchanged over recent months and suggesting 8% growth year-over-year.Top line revisions have been slightly more negative but have otherwise been stable since a downward adjustment in early November of last year. The $124 billion expected suggests 3.7% growth year-over-year.The company's top line has remained rather stagnant over recent years. Apple's overall top and bottom line growth has been cooling for some time now, with it no longer recognized as the growth machine it used to be.Key Apple Metrics to WatchIt's critical to keep a close eye on Apple's China results, as the region has become a big thorn in the side amid a growth cooldown stemming from increased competition. The company's China revenue has fallen short of our consensus estimate in five consecutive releases, reflective of the struggles.The Zacks Consensus Estimate for China sales for the upcoming print stands at $22.1 billion, 6.5% higher than the year-ago figure and reflective of the first positive year-over-year change in several quarters.Another key metric to watch in the release is Apple's Services results, which have regularly been robust and reached record levels throughout its latest period. The Zacks Consensus estimate for the metric stands at $26.2 billion, 14% higher than the year-ago figure.And last but not least, the company's iPhone results will be under heavy scrutiny. Apple has bounced back on the metric in recent quarters, as shown below, but Apple Intelligence will likely be discussed significantly.Many have remained skeptical of Apple Intelligence, and we'll likely get a good read on whether or not the technology and new features have led to greater sales. The iPhone remains the biggest top line contributor for Apple, accounting for nearly 50% of sales throughout its latest quarter.Bottom LineBeloved Apple is gearing up to reveal its next set of quarterly results this week, with many other notable companies slated to report.The stock is currently a Zacks Rank #4 (Sell), reflective of bearishness among analysts. Commentary and guidance will be critical for the stock's movement post-earnings, likely dictated by the adoption rate and use of Apple Intelligence.In addition to the iPhone's new capabilities, investors should also keep a close eye on China results and momentum within its Services segment, with the former suppressing growth over recent periods and the latter supporting it. Still, it's worth noting that China sales are forecasted to show the first positive year-over-year change in several periods.Why Haven't You Looked at Zacks' Top Stocks?Since 2000, our top stock-picking strategies have blown away the S&P's +7.0 average gain per year. Amazingly, they soared with average gains of +44.9%, +48.4% and +55.2% per year.Today you can access their live picks without cost or obligation.See Stocks Free >>Media ContactZacks Investment Research800-767-3771 ext. 9339support@zacks.comhttps://www.zacks.comPast performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.3% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Apple Inc. (AAPL): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks