For the first quarter of fiscal 2026 (ended Dec. 27), Apple (AAPL 1.93%) reported revenue and earnings per share (EPS) that blew past Wall Street analyst estimates. The top line grew by 15.7%, while the bottom-line metric increased by 18.3% compared to the same period last year.
There's a lot of momentum that's lifting this dominant tech enterprise. It's time to look forward to the next expected earnings date. Is it a good idea to invest in Apple stock before April 30?
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iPhone reminds investors who Apple really is
Apple's flagship product, the iPhone, is thriving right now. "The demand for iPhone was simply staggering, with revenue growing 23% year over year and all-time records across every geographic segment," CEO Tim Cook highlighted on the Q1 2026 earnings call. It's quite remarkable that the first iPhone was launched nearly two decades ago in 2007. Here we are in 2026, and the iPhone 17 family is still such a highly sought after piece of hardware. iPhones represented 59% of Apple's revenue last quarter.
There might be one reason for investors to worry, especially if being a leader in artificial intelligence (AI) is a top priority. Apple isn't spending nearly as much as its big tech peers are on AI. And its upgraded AI-powered Siri voice assistant, which was supposed to be released in 2025, has been delayed again. The launch is planned for later this year.
NASDAQ: AAPL
Key Data Points
Know what your expectations are
It's anyone's guess what numbers Apple will report for Q2 2026. For what it's worth, management expects revenue to rise between 13% and 16% versus the same period in fiscal 2025. This would certainly drive EPS higher as well.
To be clear, though, no one can accurately predict what will happen. Therefore, it's not necessary to rush and buy the stock before the current fiscal quarter's financial results are reported. Investors shouldn't think in terms of months. Timing the market isn't the objective.
Instead, consider if Apple makes sense for your overall portfolio as part of a long-term strategy, say, with a time horizon that looks over the next five to 10 years. What matters is that this is still a high-quality company with innovative prowess, a strong brand and ecosystem, pricing power, and superior financials. That's a wonderful combination.
Apple might be able to put up consistent high-single-digit or low-double-digit annualized EPS gains over time. Investors shouldn't expect that market-beating returns are guaranteed, however. The valuation isn't cheap, with the stock trading at a price-to-earnings ratio of 33.4.
