During the holiday quarter Apple reclaimed the top position in China’s smartphone market by shipping an estimated 23 million iPhone units, representing a 5-point share increase over the prior quarter. This rebound came even as global memory-chip shortages deepened; overall China smartphone volumes fell 8% year-over-year but Apple grew shipments 12%. The resurgence was driven in part by strong demand for the iPhone 17, which accounted for nearly 40% of Apple’s Greater China revenue in the period, and a successful retail rollout that saw same-store sales in Beijing and Shanghai grow by 18%.

In the first quarter of 2025, Berkshire Hathaway sold roughly $4 billion worth of its Apple shares, reducing its stake by 3.7% to a holding of approximately 5.6% of Apple’s outstanding stock. The divestiture was part of a broader move into cash and U.S. Treasuries, boosting Berkshire’s liquidity position by $10 billion in the quarter. Following the sale, Apple still represents one of Berkshire’s top three equity investments, underscoring Warren Buffett’s long-term confidence in the company despite trimming exposure to fund a strategic reserve.

Apple’s market capitalization stands roughly 32% below the $5 trillion threshold targeted for 2026, according to consensus estimates. Wedbush recently raised its 12-month price target to a level implying a 37% upside and forecasts that the company’s deal to incorporate Google’s Gemini AI into Siri will underpin services revenue growth of 15% next year. With a current forward P/E of about 28x and a PEG ratio near 2.4, Apple trades at a premium to the broad market but offers potential earnings growth of 10–12% annually through 2026, driven by higher average selling prices on new iPhone models and expanding service-margin leverage.

In its fiscal fourth quarter, Apple reported revenue of $102.5 billion, up 8.7% year-over-year, with net income rising 12% to $27.6 billion. iPhone sales contributed 50% of total revenue, boosted by the iPhone 17 launch, while Services grew 17% to $21.0 billion, driven by App Store and subscription gains. Gross margin improved by 120 basis points to 46.9%, reflecting cost efficiencies in component sourcing. The company ended the quarter with a cash balance of $54.7 billion and declared a $1.04 annualized dividend, reinforcing its capacity to fund share repurchases and strategic investments in AI and next-generation connectivity.