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Key Takeaways
- Apple will report its fiscal second quarter earnings after the closing bell on Thursday.
- Bank of America recently reduced its price target for Apple shares amid concerns about changing trade policies and uncertainty in the economy.
- Apple plans to move all iPhones sold in the U.S. from the U.S. assembly to India by 2026, to reduce tariff risks.
Apple (AAPL), which is slated to announce its fiscal second quarter results after the markets close on Thursday, will likely be closely watching to see how the iPhone maker’s trade policies might change.
Bank of America analysts recently reiterated a “buy” rating, but lowered their price target to $240 from $250, citing "uncertainty in the economic outlook." The analysts said they anticipate Apple could see some near-term upside "driven by some pull forward of demand" driven by tariff worries, but warned that demand could weaken as concerns about the economy weigh on consumers.
A number of analysts have warned that Apple could also be hurt by a potential trade war with China. Apple manufactures approximately 90% of its product in China. Donald Trump has stated that he believes tariffs on China will “come down substantially,” but not go to zero. Apple plans to move the assembly for all iPhones sold in the U.S. from China to India by 2026 to help mitigate risk.
Visible Alpha has tracked 15 analysts who cover Apple. Of those, nine have “buy” or an equivalent rating, while four have “hold” ratings and two have “sell” ratings. Their consensus price target near $234 would suggest roughly 11% upside from Tuesday's close at $211.21. Apple shares have dropped by almost 16% since the beginning of the year.
Analysts expect Apple to report a second-quarter revenue of $944.5 billion, an increase of 4% over the previous year, and a net income of $24.42 Billion, or $1.62 a share, which is up from $23.64 Billion, or $1.53 if you compare it with yearly results.
UPDATE—April 29, 2025: This article has been updated since it was first published to reflect more recent analyst estimates and share price values.
