Key Takeaways
- Goldman Sachs has reaffirmed its Buy rating on Apple with a $330 price target as the company approaches its April 30 earnings announcement.
- Analyst Michael Ng projects fiscal Q2 2026 earnings per share of $2.00, surpassing the consensus estimate of $1.93.
- Apple shares have declined 4% in 2026, pressured by elevated DRAM costs stemming from AI-fueled supply constraints.
- The iPhone maker secured a 21% share of the global smartphone market in Q1 2026 — marking its first-ever leadership position in a first quarter.
- The upcoming WWDC 2026 conference (June 8–12) is viewed as a significant catalyst, with expectations for a revamped Siri and potential iPhone Fold announcement.
As Apple approaches its April 30 earnings announcement, the company faces headwinds, yet Goldman Sachs remains steadfast in its optimistic outlook. The investment bank has reaffirmed its Buy recommendation alongside a $330 price target, with analyst Michael Ng suggesting that current weakness presents a buying opportunity rather than cause for concern.
Shares of AAPL have slipped 4% since the start of the year, underperforming the S&P 500’s 2% advance during the same timeframe. The primary culprit has been escalating DRAM costs, which have climbed sharply since autumn 2025 as artificial intelligence applications create unprecedented demand for memory chips.
Ng’s earnings projection for the fiscal second quarter comes in at $2.00 per share, exceeding Wall Street’s consensus of $1.93. He anticipates robust iPhone and Mac sales, gross margin performance above expectations, and supportive foreign exchange conditions to fuel the outperformance.
Apple’s gross profit margin stands at 47.3% on a trailing twelve-month basis, demonstrating the company’s ability to maintain pricing power despite escalating component expenses. The tech giant is also proactively securing mobile DRAM supplies, a strategy Goldman believes will safeguard both profitability and competitive positioning.
Services Segment Shows Consistent Momentum
Regarding the Services division, Goldman anticipates 14% revenue growth year-over-year, propelled by iCloud+, AppleCare+, and advertising revenues. App Store expansion has been more moderate — UBS estimated approximately 7% growth in the March quarter, with stagnant growth domestically — yet the overall Services portfolio continues to broaden.
Bank of America has separately lifted its AAPL price objective to $325, similarly pointing to robust iPhone sales and prospects for an earnings surprise. UBS, conversely, maintained its Neutral stance with a $280 target.
In the smartphone sector, Apple’s competitive stance appears robust. The company commanded a 21% global market share during Q1 2026 — representing the first time it has topped the market in an opening quarter. iPhone 17 momentum and trade-in initiatives powered these gains, with particularly strong results across China, India, and Japan.
TSMC’s recent earnings commentary highlighted exceptional performance in premium smartphones, evidence Goldman referenced as corroborating its bullish Apple thesis. Market share expansion for iPhones in China was also highlighted as an encouraging indicator.
Developer Conference and Foldable iPhone Generate Anticipation
Beyond the imminent earnings release, market participants are focused on WWDC 2026, slated for June 8–12. Apple is anticipated to unveil a reimagined, conversational Siri as part of its artificial intelligence initiative.
Hardware rumors are also gaining momentum. Goldman projects the Fall 2026 iPhone portfolio will feature the iPhone Fold, a long-anticipated foldable device that could establish an entirely new product segment for the technology leader.
Cirrus Logic received recognition as a partner in Apple’s American Manufacturing Program alongside GlobalFoundries. Stifel responded by increasing its Cirrus Logic price objective to $175 while maintaining a Buy recommendation.
The Street’s consensus rating on AAPL registers as a Moderate Buy, derived from 16 Buy recommendations, 8 Hold ratings, and 1 Sell rating. The average analyst price target of $304.85 suggests approximately 12.8% potential upside from present trading levels.
Apple will announce quarterly results after market close on April 30.
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