Should You Buy Apple Stock Before October 30 Earnings?

TLDR

• Apple reports Q4 fiscal 2025 earnings October 30 with analysts projecting $1.78 EPS and $102.17B revenue
• iPhone 17 outsold iPhone 16 by 14% in first 10 days across U.S. and China markets per Counterpoint data
• Services segment crossing $100B annual revenue for first time, contributing 50% of Apple’s profits
• Analyst price targets range from $203 to $290 with divided opinions on stock outlook
• Import tariffs expected to reduce Q4 margins by $1.1B with 46-47% gross margins forecast

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Apple will announce its fourth-quarter fiscal 2025 results after markets close on Thursday, October 30. The tech giant has exceeded analyst expectations for eight straight quarters.

Wall Street forecasts earnings will climb 8.5% year-over-year to $1.78 per share. Revenue is expected to jump 7.6% to $102.17 billion compared to $94.93 billion in the prior year period.

Apple Inc., AAPL

The iPhone generates roughly half of Apple’s total sales. Market research firm Counterpoint reported iPhone 17 sales surpassed iPhone 16 by 14% during the initial 10-day sales period in both U.S. and China.

China customers favored the base iPhone 17 model. U.S. buyers showed preference for the premium version.

Apple launched the iPhone Air as its thinnest smartphone. The device offers reduced features and has received a lukewarm market response.

Services Revenue Hits New Milestone

Apple’s Services division is projected to reach $108.6 billion in annual revenue for 2025. This represents the first time the segment will surpass $100 billion yearly.

The unit includes iCloud storage, Apple Pay, and AppleCare protection plans. Services generate 25% to 30% of Apple’s total revenue while delivering up to 50% of profits.

Services revenue is expanding at 13% annually. Income streams include recurring subscriptions and partnerships such as Google’s default search engine placement on iPhones.

The company confronts antitrust litigation in the U.S. and UK. Regulators are reviewing potential restrictions on App Store commission rates.

Tariff Impact and Valuation

Import tariffs will affect Apple’s Q4 profit margins. The company expects a $1.1 billion tariff-related hit this quarter.

Analysts forecast gross margins between 46% and 47%. Apple’s market capitalization stands near $4 trillion.

Wall Street Divided on Outlook

J.P. Morgan analyst Samik Chatterjee increased his price target to $290 from $280. He maintains a buy rating citing high-single-digit revenue growth expectations for Q4 and Q1.

UBS analyst David Vogt holds a neutral stance with a $220 price target. He points to weakening iPhone demand in China where local competitors Huawei and Xiaomi gain market share.

Apple implemented price cuts to boost iPhone 16 sales in China. Sales still trailed Chinese brands in the region.

Jefferies analyst Edison Lee maintains a sell rating with a $203.07 price target. Lee argues the stock price already reflects iPhone 17 optimism.

Lee warns investors hold excessive expectations for unconfirmed products like iPhone 18 and a potential foldable model.

Stock Metrics

TipRanks shows Apple carries a moderate buy consensus from 20 buy ratings, 12 holds, and 3 sells. The average analyst price target of $260.74 sits 3% below current trading levels.

Apple shares gained 7.7% year-to-date through October 2025. The stock trades at 29 times forward earnings and recently reached fresh all-time highs following positive iPhone sales data.

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