Apple's stock rose over 5% on Friday, reaching a nine-month high and on course for its greatest one-day rise since November, as the iPhone maker's quarterly earnings reassured investors concerned about a possible recession.
The jump in Apple shares boosted optimism on Wall Street, helping increase the S&P 500 and Nasdaq by more than 1.5% after CEO Tim Cook's findings late Thursday highlighted the durability of corporate earnings in a quarterly reporting season that has so far been less awful than predicted.
"Apple soothed the market because of its consistency of execution. Tim Cook has a steady hand on the helm," said Jake Dollarhide, chief executive officer of Longbow Asset Management in Tulsa, Oklahoma.
"Investors in uncertain times want certainty, and Apple, as well as Microsoft (MSFT.O), are as close as you can get to certainty," Dollarhide added.
The world's most valuable corporation reported decreased revenue and profits for the fiscal quarter that ended April 1, but still outperformed analysts' estimates. With Apple's results aided by emerging countries such as India, management predicted that gross profit margins for the current quarter will be higher than expected.
Apple's stock market valuation increased by more than $100 billion to almost $2.7 trillion, expanding the corporation's lead over Microsoft, the world's second most valuable company, which is valued at $2.3 trillion.
The Cupertino, California-based company's shares were trading at $173.48, on track for their greatest one-day rise since Nov. 30. Last August, they were barely shy of the $176 mark.
Apple's stock has recovered about 40% from its January closing low, and it is now only 4.7% off its January 2022 record high. In instance, the S&P 500 is still down 15% from its record high close in January 2022.
According to Refinitiv data, at least 13 analysts upped their price predictions for Apple's stock after the revelation, with the consensus estimate rising to $180 from $170 before the report.
(Source:www.theprint.com)
The jump in Apple shares boosted optimism on Wall Street, helping increase the S&P 500 and Nasdaq by more than 1.5% after CEO Tim Cook's findings late Thursday highlighted the durability of corporate earnings in a quarterly reporting season that has so far been less awful than predicted.
"Apple soothed the market because of its consistency of execution. Tim Cook has a steady hand on the helm," said Jake Dollarhide, chief executive officer of Longbow Asset Management in Tulsa, Oklahoma.
"Investors in uncertain times want certainty, and Apple, as well as Microsoft (MSFT.O), are as close as you can get to certainty," Dollarhide added.
The world's most valuable corporation reported decreased revenue and profits for the fiscal quarter that ended April 1, but still outperformed analysts' estimates. With Apple's results aided by emerging countries such as India, management predicted that gross profit margins for the current quarter will be higher than expected.
Apple's stock market valuation increased by more than $100 billion to almost $2.7 trillion, expanding the corporation's lead over Microsoft, the world's second most valuable company, which is valued at $2.3 trillion.
The Cupertino, California-based company's shares were trading at $173.48, on track for their greatest one-day rise since Nov. 30. Last August, they were barely shy of the $176 mark.
Apple's stock has recovered about 40% from its January closing low, and it is now only 4.7% off its January 2022 record high. In instance, the S&P 500 is still down 15% from its record high close in January 2022.
According to Refinitiv data, at least 13 analysts upped their price predictions for Apple's stock after the revelation, with the consensus estimate rising to $180 from $170 before the report.
(Source:www.theprint.com)