Key Takeaways
- Apple secured an unprecedented 20% share of the global smartphone market in Q2 2026, while total industry shipments plunged 11% YoY to levels not seen since 2013.
- Unlike all other major competitors, Apple maintained stable pricing despite escalating memory component costs.
- Morgan Stanley elevated its AAPL price objective to $360, highlighting robust pricing strength and artificial intelligence initiatives; Monness sustained a Buy rating with a $335 target.
- Monness forecasts Q3 FY2026 revenue of $109.42 billion with EPS of $1.95, surpassing consensus analyst predictions.
- AAPL shares traded in the $313.95–$317.31 range, nearing the 52-week peak of $323.45.
Apple captured an all-time high of 20% global smartphone market share during Q2 2026, data from Counterpoint Research reveals — accomplishing this milestone while competitors faced significant headwinds.
Worldwide smartphone shipments contracted 11% year over year in Q2, marking the weakest second-quarter performance since 2013. The primary driver: an intensifying shortage of DRAM and NAND memory that has elevated manufacturing expenses and retail pricing. Apple’s shipments grew 3% YoY throughout the identical timeframe.
AAPL changed hands at $313.95 during premarket trading Tuesday, declining roughly 1%, though remaining near its 52-week pinnacle of $323.45.
The iPhone 17 series fueled Apple’s exceptional performance, maintaining its position as the globe’s highest-shipped smartphone family throughout the quarter. Apple additionally distinguished itself by preserving stable pricing — all other leading manufacturers elevated device prices responding to the memory supply constraints.
China represented the singular weakness. Apple’s shipments within that territory dropped year over year, despite promotional efforts coordinated with the 618 shopping event. Previous-generation iPhone models experienced diminished demand as component resources shifted toward newer products.
Samsung regained the leading position in aggregate global shipments with a 24% market share, propelled by Galaxy S26 sales and competitive promotional campaigns. Xiaomi, OPPO, and vivo each registered double-digit shipment contractions, their concentration in budget-oriented devices rendering them particularly susceptible to increasing memory expenses.
Analysts Elevate Price Objectives
Morgan Stanley analyst Erik Woodring elevated his price objective on AAPL to $360, maintaining a Buy rating. His investment thesis emphasizes Apple’s pricing authority — he contends that demand for iPhone, Mac, and iPad demonstrates relative price inelasticity, allowing Apple to implement price increases without substantially impacting unit volumes.
Woodring anticipates a substantial price elevation on forthcoming iPhone models, which he believes could contribute measurable benefits to near-term and FY2027 earnings per share.
Monness, Crespi, Hardt similarly sustained a Buy rating with a $335 price objective. The firm anticipates Apple will match or exceed Q3 FY2026 projections when results are disclosed on July 30.
Upcoming Earnings Release
Monness projects Q3 FY2026 revenue of $109.42 billion, exceeding Street consensus of $108.58 billion. The firm anticipates EPS of $1.95, surpassing the Street projection of $1.89.
The firm forecasts revenue expansion exceeding 16% year over year for the quarter — marginally below Q2’s approximately 17% but substantially above the 10% growth recorded in Q3 FY2025.
The July 30 earnings announcement carries particular importance: it represents Tim Cook’s final earnings call as CEO before John Ternus assumes leadership on September 1.
Not all analysts share optimistic perspectives. KeyBanc downgraded AAPL to Underweight from Sector Weight, citing decelerating iPhone production and underwhelming U.S. upgrade momentum.
Counterpoint Senior Analyst Shilpi Jain indicated the memory crisis has emerged as the most significant impediment facing the smartphone sector, with challenging circumstances anticipated to persist throughout 2026 and potentially extending into 2027.
Apple recently disclosed a multiyear partnership with Broadcom exceeding $30 billion to engineer and manufacture customized silicon and wireless connectivity components, with production of more than 15 billion U.S.-manufactured chips projected under the agreement.
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