Recommendation: Buy
| Entry Date | Symbol | Recommendation | Entry Price (USD) | Target 1 (USD) | Target 2 (USD) | Holding Duration | Position Status | Return(%)* |
|---|---|---|---|---|---|---|---|---|
| 1 Apr, 26 | AAPL | Buy | USD 253.79 | USD 267.0 | USD 280.0 | 30 days | Closed |
11.81%
|
*Return(%) represent the percentage change between the entry price and exit price of the recommendation.
Data Powered by EOD Historical Data (“EODHD”).
Apple Inc. designs, manufactures, and markets smartphones, personal computers, tablets, wearables, and accessories worldwide. The company offers iPhone, a line of smartphones; Mac, a line of personal computers; iPad, a line of multi-purpose tablets; and wearables, home, and accessories comprising AirPods, Apple Vision Pro, Apple TV, Apple Watch, Beats products, and HomePod, as well as Apple branded and third-party accessories. It also provides AppleCare support and cloud services; and operates various platforms, including the App Store that allow customers to discover and download applications and digital content, such as books, music, video, games, and podcasts, as well as advertising services include third-party licensing arrangements and its own advertising platforms. In addition, the company offers various subscription-based services, such as Apple Arcade, a game subscription service; Apple Fitness+, a personalized fitness service; Apple Music, which offers users a curated listening experience with on-demand radio stations; Apple News+, a subscription news and magazine service; Apple TV, which offers exclusive original content and live sports; Apple Card, a co-branded credit card; and Apple Pay, a cashless payment service, as well as licenses its intellectual property. The company serves consumers, and small and mid-sized businesses; and the education, enterprise, and government markets. It distributes third-party applications for its products through the App Store. The company also sells its products through its retail and online stores, and direct sales force; and third-party cellular network carriers and resellers. The company was formerly known as Apple Computer, Inc. and changed its name to Apple Inc. in January 2007. Apple Inc. was founded in 1976 and is headquartered in Cupertino, California.
Strong Cash Flow Generation: Q1FY26 operating cash flow USD 53,925 million vs Q1FY25 USD 29,935 million, indicating significant improvement in cash conversion
Services Segment Growth: Q1FY26 USD 30,013 million vs Q1FY25 USD 26,340 million, demonstrating sustained double-digit growth and recurring revenue strength
Elevated R&D Spend: Q1FY26 USD 10,887 million vs Q1FY25 USD 8,268 million, indicating ~32% growth, which could pressure margins if returns are delayed
Decline in Mac Revenue: Q1FY26 USD 8,386 million vs Q1FY25 USD 8,987 million, reflecting a decline of ~7% due to weaker demand in computing devices
Apple’s key investment risk lies in its high dependence on iPhone-driven revenue growth alongside exposure to global supply chain disruptions, regulatory pressures, and tariff-related cost inflation, which could adversely impact margins and demand dynamics
| Entry Price | Support* | Target 1** | Target 2** |
|---|---|---|---|
| 253.79 | 228.0 | 267.0 | 280.0 |
Data Source: REFINITIV, Analysis: StockNextt
*Support can be considered as an indicative stop-loss, and if prices move below that level on closing basis individuals may evaluate exiting the position depending on their risk appetite, previous holdings, and other factors considered. The support and resistance levels may need to be re-evaluated within 4-6 weeks’ time frame depending on the stock price movements from the date of recommendation on the stock.
**Target prices may vary by ±0.5% depending on market volatility.
Revenue Growth Driven by Product and Services Expansion: Apple reported total net sales of USD 143,756 million in Q1FY26 compared with USD 124,300 million in Q1FY25, reflecting a growth of approximately 16% year-on-year. The increase was primarily driven by strong iPhone sales and continued momentum in the Services segment, indicating sustained ecosystem monetization and product demand strength.
iPhone Continues to Anchor Revenue Mix: The iPhone segment remained the largest contributor, generating USD 85,269 million in Q1FY26 versus USD 69,138 million in Q1FY25, supported by higher demand for Pro models. This reinforces Apple’s continued dependence on flagship product cycles while also highlighting premiumization trends within its product portfolio.
Services Segment Demonstrates Structural Strength: Services revenue increased to USD 30,013 million in Q1FY26 from USD 26,340 million in Q1FY25, reflecting growth of approximately 14%. The expansion was driven by higher contributions from advertising, App Store, and cloud services, underscoring the increasing share of recurring, high-margin revenue streams.
Mixed Performance Across Hardware Categories: While iPad revenue grew to USD 8,595 million in Q1FY26 from USD 8,088 million in Q1FY25, Mac revenue declined to USD 8,386 million from USD 8,987 million, and Wearables, Home and Accessories decreased slightly to USD 11,493 million from USD 11,747 million. This reflects uneven demand across hardware categories amid evolving consumer preferences.
Margin Expansion Supported by Product Mix: Gross margin improved to USD 69,231 million in Q1FY26 compared with USD 58,275 million in Q1FY25, with overall gross margin percentage rising to 48.2% from 46.9%. The improvement was driven by favorable product mix and higher Services contribution, partially offset by tariff-related costs.
Operating Profit Growth Amid Cost Pressures: Operating income increased to USD 50,852 million in Q1FY26 from USD 42,832 million in Q1FY25. However, operating expenses rose to USD 18,379 million from USD 15,443 million, reflecting higher R&D investments (USD 10,887 million vs USD 8,268 million) and increased SG&A expenses, indicating continued investment in innovation and scale.
Net Profit and Cash Flow Strength: Net income rose to USD 42,097 million in Q1FY26 compared with USD 36,330 million in Q1FY25, while operating cash flow strengthened significantly to USD 53,925 million from USD 29,935 million. The improvement highlights robust earnings conversion and strong liquidity generation.
Considering recent key business, financial updates, current trading levels, and key business risks, a ‘Buy’ recommendation has been given to Apple Inc. (NASDAQ: AAPL) at the closing market price of USD 253.79, as on Mar 31, 2026
Data Powered by EOD Historical Data (“EODHD”).
Sector: Technology Industry: Consumer Electronics
| Company | Change (USD) | Price (USD) | Trailing PE (x) | Forward PE (x) | Price Sales TTM (x) | Price to Book Value (x) | Enterprise Value to Revenue (x) | Enterprise Value to EBITDA (x) |
|---|---|---|---|---|---|---|---|---|
| AAPL Apple Inc. |
0.39 0.12% | 326.98 | 34.61 | 31.15 | 8.98 | 44.31 | 9.02 | 25.71 |
| SONY Sony Group Corp |
-0.005 0.02% | 21.14 | 20.24 | 15.55 | 0.0092 | 2.24 | 0.01 | 0.06 |
| SNEJF Sony Corp |
0.43 2.02% | 21.68 | 20.19 | 15.72 | 0.0091 | 2.27 | 0.01 | 0.06 |
| XIACY Xiaomi Corp ADR |
-0.31 1.76% | 17.32 | 23.00 | 24.39 | 0.20 | 2.25 | 0.16 | 1.88 |
| XIACF Xiaomi Corp |
- -% | 3.52 | 23.11 | 24.45 | 0.20 | 2.26 | 0.16 | 1.88 |
Data Powered by EOD Historical Data (“EODHD”).
Markets are trading in a highly volatile zone currently due to certain macro-economic issues and prevailing geopolitical tensions. Therefore, it is prudent to follow a cautious approach while investing.
Related Risks: This report may be looked at from high-risk perspective and recommendations are provided are for a short duration. Recommendations provided in this report are solely based on technical parameters, and the fundamental performance of the stocks has not been considered in the decision-making process. Other factors which could impact the stock prices include market risks, regulatory risks, interest rates risks, currency risks, social and political instability risks etc.
Note 1: Past performance is not a reliable indicator of future performance.
Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels as on April 1, 2026. The reference data in this report has been partly sourced from REFINITIV.
Note 3: Investment decisions should be made depending on an individual's appetite for upside potential, risks, holding duration, and any previous holdings. An 'Exit' from the stock can be considered if the Target Price mentioned has been achieved and is subject to the factors discussed above.
Note 4: StockNextt reports are prepared based on the stock prices captured either from REFINITIV or Trading View. Typically, REFINITIV or Trading View may reflect stock prices with a delay which could be a lag of 15-20 minutes. There can be no assurance that future results or events will be consistent with the information provided in the report. The information is subject to change without any prior notice.
Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock.
Target: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Target 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Target 2 may act as the crucial resistance level for the stock.
Stop-loss: It is a level to protect further losses in case of unfavourable movement in the stock prices.
Disclaimer :
This report has been issued by StockNextt which has an Ontario Business Identification Number 1000958347 and British Columbia registration Number FM1051529 is a trade name under Kalkine Canada Advisory Services Inc. having Business Number 761925130BC0001. Kalkine Canada Advisory Services Inc. and StockNextt are collectively referred to as “StockNextt”, “we”, “us”, and “our”. The website https://stocknextt.com and associated pages are published by StockNextt. The information in this report and on the StockNextt website has been prepared from a wide variety of sources, which StockNextt, to the best of its knowledge and belief, considers accurate. StcokNextt has made every effort to ensure the reliability of information contained in its reports, newsletters, and websites. All information represents our views at the date of publication and may change without notice. The information in this report does not constitute an offer to sell securities or other financial products or a solicitation of an offer to buy securities or other financial products. Our reports contain general recommendations for investing in securities and other financial products. StockNextt does not offer financial advice based upon your personal financial situation or goals, and we shall not be held liable for any investment or trading losses you may incur by using the opinions expressed in our reports, publications, market updates, news alerts and corporate profiles. StockNextt does not intend to exclude any liability which it is not permitted to exclude under applicable law or regulation. StockNextt’s general advice does not in any way endorse or recommend individuals, investment products or services for your personal financial situation. You should discuss your portfolios and the risk tolerance level appropriate for your personal financial situation, with a professional authorised financial planner and adviser. You should be aware that the value of any investment and the income from it can go down as well as up and you may not get back the amount invested. Please also read our Terms and conditions for further information. Employees and/or associates of StockNextt and its related entities may hold an interest in the securities or other financial products covered in this report or on the StockNextt website. Any such employees and associates are required to comply with certain safeguards, procedures and disclosures as required by law.
Copyright © 2026 Krish Capital Pty Ltd. All rights reserved. No part of this website, or its content, may be reproduced in any form without our prior consent.
Australia