AAPL: Apple Stock Jumps as China iPhone Sales Drive Blowout Q3
Warning! GuruFocus has detected 5 Warning Signs with NVDA.
The company reported revenue of $94.04 billion, surpassing the Street's $89.35 billion forecast. iPhone sales reached $44.58 billion, well ahead of estimates at $40.29 billion, while China delivered $15.37 billion in revenue, up 4% from a year earlier. Analysts noted that government stimulus helped lift demand during the period, setting the stage for Apple's upcoming iPhone 17 cycle.
Wedbush reiterated its "Outperform" rating and a $270 price target on the stock, calling the iPhone performance in China the star of the show. Mac and Services also posted double?digit growth, contributing to the company's strong top? and bottom?line performance.
The better?than?expected results mark an encouraging shift for Apple in its core Asian market, where recent quarters faced headwinds. Investors now look to the next iPhone launch to keep momentum going.
This article first appeared on GuruFocus.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
25 minutes ago
- Yahoo
BP fuels FTSE 100 but soft US data tempers gains
The FTSE 100 climbed on Tuesday boosted by another day of well-received earnings, with Smith & Nephew, Diageo and BP all in favour, although weak US data saw progress fade late in the trading session. 'Strong corporate results are helping as they show businesses can still thrive despite the turbulent backdrop,' said Russ Mould, at AJ Bell. The FTSE 100 Index closed up 14.43 points, 0.2%, at 9,142.73. It had earlier traded as high as 9,177.95. The FTSE 250 ended 42.19 points higher, 0.2%, at 21,901.69, and the AIM All-Share ended up 4.59 points, 0.6%, at 763.48. Well-received earnings provided a lift in London, with index heavyweights BP and Diageo to the fore. Oil major BP rose 2.8% after better-than-expected second-quarter results. The strong earnings, coming on the back of a major hydrocarbon discovery in Brazil, will improve the investment mood music and be helpful for management credibility, analysts said. Underlying replacement cost profit of 2.35 billion dollars was well ahead of company compiled consensus for 1.82 billion dollars but 15% below 2.76 billion dollars a year ago. Alastair Syme, at Citi, said: 'After several quarters where earnings have not lived up to expectations, BP's 2Q25 is significantly better than market forecasts.' 'In the space of two days – yesterday's potentially highly material Bumerangue discovery in Brazil and today's earnings trajectory – we believe there are credible reasons for the investors to revisit the BP investment story,' he added. On Monday, BP reported new oil and gas findings at its Bumerangue offshore mining block, calling the discovery its 'largest in 25 years'. Alongside results, BP said it will conduct a thorough review of its businesses, including targeting further cost cuts. The company is two quarters into a 12-quarter plan and chief executive Murray Auchincloss said he was 'encouraged' by the early progress, but added 'we know there's much more to do'. Diageo climbed 4.9% after full-year results provided some reassurance, although they failed to sway some commentators. The London-based brewer and distiller, which owns brands ranging from Guinness stout to Johnnie Walker whisky, on Tuesday reported a decline of more than a third in its bottom line in the financial year that ended in June, as a slight decline in net sales was compounded by impairment and restructuring costs, unfavourable currency movements, and narrowed operating margins. Even so, Diageo said its results were in line with guidance. Bank of America said: 'While the environment remains challenging, it is clear that management is stepping up what it can control, and we believe these results will reassure.' Richard Hunter, at interactive investor, said there are 'emerging glimmers of hope'. But James Edwards Jones, at RBC Capital Markets, said the results do not 'advance the investment case – positive or negative – materially'. Smith & Nephew was the best blue chip performer, up 15%, as it said revenue growth accelerated in the second quarter of 2025. The Watford-based medical devices maker said pre-tax profit jumped 43% to 362 million dollars in the half year that ended June 28 from 253 million dollars a year prior. Revenue increased 4.7% to 2.96 billion dollars in the half year from 2.83 billion dollars a year ago, including a 1.55 billion dollar contribution in the second quarter, up 7.8% from 1.44 billion dollars last year. Chief executive Deepak Nath called it a 'strong performance'. The transformation of Smith & Nephew is starting to deliver 'substantial value', Mr Nath added. In Europe on Tuesday, the CAC 40 in Paris fell 0.1%, while the DAX 40 in Frankfurt rose 0.4%. In New York, the Dow Jones Industrial Average was down 0.3%, the S&P 500 was 0.6% lower, and the Nasdaq Composite declined 0.8%. Palantir jumped 5.9% after it raised annual guidance after quarterly revenue hit one billion dollars for the first time, while drugs firm Pfizer climbed 4.5% and also raised its annual outlook after 'another strong quarter'. But Wall Street fell back overall after figures showed the US service sector slowed down in July. Wells Fargo noted the Institute for Supply Management service sector index fell to 50.1 in July from 50.8 in June, the third-lowest reading since the pandemic year of 2020, and below consensus which had expected an improvement to 51.5. TD Economics said the softer trend in ISM services is 'indicative of slowing US economic activity – a theme that we anticipate will become more entrenched in the third quarter'. 'While the Fed will have to tread carefully with ongoing signals of an uptick in price pressures ahead, growth-related concerns are likely to dominate and should get the Fed moving when it comes to easing monetary policy,' it added. The dollar was mixed after the data. The pound rose to 1.3301 dollars late on Tuesday afternoon in London, compared with 1.3287 dollars at the equities close on Monday. The euro traded at 1.1579 dollars, higher against 1.1568 dollars. Against the yen, the dollar was trading higher at 147.42 yen compared with 147.30 yen. The yield on the US 10-year Treasury was at 4.20%, trimmed from 4.22%. The yield on the US 30-year Treasury was 4.77%, narrowed from 4.81% from Monday. Data showed growth in the UK's key service sector slowed but beat expectations in July, amid an 'unfavourable global economic backdrop' while optimism improved as US tariff concerns faded. The S&P Global UK services purchasing managers' business activity index fell to 51.8 points in July from 52.8 in June, but beat the July 24 flash reading of a sharper fall to 51.2 in July. The composite PMI meanwhile eased to 51.5 in July from 52.0 in June, outperforming the 51.0 flash reading. On the FTSE 250, Northampton-based building materials provider Travis Perkins climbed 5.6% as it reported improving revenue trends at its Merchanting business, while well-received results, including strong orders, supported industrial flow control equipment manufacturer Rotork up 6.6%. Close Brothers rose a further 6.8% after the favourable motor finance ruling but Domino's Pizza was off the menu, down 18%, after it lowered its annual outlook, with 'weak' consumer confidence keeping a lid on sales growth. Brent oil was quoted lower at 68.04 dollars a barrel in London on Tuesday, down from 69.20 dollars late on Monday. Gold firmed to 3,385.82 dollars an ounce against 3,372.82 dollars. The biggest risers on the FTSE 100 were Smith & Nephew, up 177 pence at 1,331p, Fresnillo, up 86p at 1,520p, Diageo, up 89p at 1,904p, Melrose Industries, up 26.8p at 575p, and BP, up 11.4p at 417.4p. The biggest fallers on the FTSE 100 were Relx, down 90p at 3,814p, Lloyds Banking Group, down 1.8p at 80.7p, 3i, down 84p at 4,029p, Games Workshop, down 300p at 16, Experian, down 70p at 3,859p. Wednesday's local corporate calendar has half-year results from miner Glencore, insurance broker Hiscox and insurer Legal & General. The global economic calendar on Wednesday has eurozone retail sales and construction PMI readings in the UK and across Europe. Contributed by Alliance News
Yahoo
25 minutes ago
- Yahoo
Marriott CEO Highlights Luxury Spend Offset By Economic Uncertainty, Reduced Government And Business Travel
Marriott International (NASDAQ:MAR) reported its second-quarter fiscal 2025 earnings on Tuesday. The company's second-quarter sales reached $6.74 billion, marking a 4.7% year-on-year increase and surpassing the analyst consensus estimate of $6.64 billion. Marriott's comparable systemwide constant-dollar revenue per available room (RevPAR) grew 1.5% year-over-year, while actual dollar RevPAR saw a 1.7% in the U.S. and Canada was flat, with RevPAR edging down 0.1% in actual dollars, while international markets saw a 5.3% increase (6.1% in actual dollars). The company added roughly 17,300 net rooms during the quarter, a 4.7% increase from the end of the second quarter of 2024. Total expenses declined 5% to $5.51 billion, contributing to an adjusted EBITDA of $1.42 billion, up from $1.32 billion a year ago. Despite a 3.4% rise in operating income to $1.24 billion, the company's operating margin fell by 100 basis points to 18%. Adjusted earnings per share (EPS) of $2.65 outperformed the consensus estimate of $2.62. View more earnings on MAR At the end of the quarter, Marriott's global system totaled nearly 9,600 properties, with approximately 1,736,000 rooms. As of June 30, Marriott held $700 million in cash and equivalents. In the quarter, Marriott repurchased 2.8 million shares of common stock for $700 million. Through July 30, the company has returned over $2.1 billion to shareholders through dividends and share repurchases. CEO Anthony Capuano reported that Marriott delivered a strong second quarter, posting solid financial results and robust net rooms growth despite ongoing macroeconomic uncertainty, with luxury strength offset by weaker select service demand due to reduced government and business transient travel. Capuano noted that development activity remained strong, with nearly 32,000 rooms signed, over 70% in international markets, and a record pipeline of more than 590,000 rooms at quarter-end. Conversions accounted for about 30% of signings and openings in the first half of the year, and Marriott still expects full-year net rooms growth to approach 5%. He highlighted the launch of Series by Marriott, a new regional brand targeting the midscale and upscale segments, and its founding deal with India's Fern portfolio. Capuano also pointed to the acquisition of lifestyle brand citizenM as a key expansion, positioning Marriott better to serve guests, Bonvoy members, and owners globally. 'Our results in the second quarter underscore the resiliency of our cash-generating, asset-light business model and the strength of our brands,' he said. Outlook Marriott revised its 2025 adjusted EPS outlook to $9.85-$10.08 (prior $9.82-$10.19) versus the $10.06 analyst consensus estimate and gross fee revenue of $5.365 billion-$5.420 billion (prior $5.365 billion-$5.475 billion). The company expects third-quarter adjusted EPS of $2.31-$2.39 against an analyst consensus estimate of $2.48 and gross fee revenue of $1.310 billion-$1.325 billion. Marriott stock declined 8% year-to-date amid macroeconomic uncertainties like labor costs and travel demand fluctuations. Price Action: Marriott shares traded lower by 0.68% to $257.37 at last check Tuesday. Photo via Shutterstock UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets. Get the latest stock analysis from Benzinga? MARRIOTT INTERNATIONAL (MAR): Free Stock Analysis Report This article Marriott CEO Highlights Luxury Spend Offset By Economic Uncertainty, Reduced Government And Business Travel originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved. Sign in to access your portfolio
Yahoo
25 minutes ago
- Yahoo
Lucid Q2 earnings preview: Gravity SUV ramp, path to profitability big questions for investors
Pure-play EV maker Lucid (LCID) will report second quarter results after the bell as the company ramps up production of its Gravity SUV and hopes to assuage investors' fears over a lack of profitability. Meanwhile, Lucid stock is down over 20% year to date. Lucid is expected to report Q2 revenue of $262.4 million, per Bloomberg consensus estimates, higher than the $200.6 million reported a year ago. Lucid is expected to post an adjusted EPS loss of $0.22, with an adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) loss of $603.6 million. The company has had a busy 2025 so far, including the start of low-volume production of the Gravity SUV. Early last month, Lucid said it produced 3,863 vehicles and delivered 3,309 vehicles in the second quarter, with its total for the first half of the year hitting 6,075 vehicles produced and 6,418 vehicle deliveries. Read more: Live coverage of corporate earnings Lucid also announced in July that it would partner with Uber (UBER) to create a robotaxi service run by the ride-hailing company, which will purchase 20,000 Lucid EVs over the next five years. The company also added access to the Tesla (TSLA) Supercharger network for its vehicles, unlocking more than 23,000 new chargers for use. Lucid also initiated plans to perform a 10-to-one reverse stock split, which won't occur until later this year. In terms of guidance, Lucid said in the past that it expects 2025 production to hit 20,000 EVs, more than double the 9,029 it produced last year. The company also said it would launch its upcoming midsize-volume SUV in 2026, which is expected to help the company increase scale and bring it closer to profitability. Profitability is the big question mark for the company. Given its production and expected loss figures, Lucid is expected to post an adjusted EBITDA loss figure of around $161,000 per car produced. On the earnings call, analysts likely will be asking management about how the company intends to bridge itself to profitability in the near future. Rivian (RIVN), for example, has achieved gross profit in its operations. The expected loss of the $7,500 federal tax credit on Sept. 30 is also likely to put a dent in Lucid's sales. Lucid is able to receive the credit for all of its vehicles via a lease loophole known as the "commercial clean vehicle credit." Pras Subramanian is the lead auto reporter for Yahoo Finance. You can follow him on X and on Instagram.
