1 Reason I'm Watching Apple Heading Into 2026
Summarize this article with:
By Neil Patel – Dec 15, 2025 at 8:09AM ESTKey PointsApple’s leadership team forecasts double-digit iPhone revenue growth in the current quarter. The stock remains richly valued, as the market continues to view the business in a favorable light. These 10 Stocks Could Mint the Next Wave of Millionaires ›NASDAQ: AAPLAppleMarket Cap$4.1TToday's Changeangle-down(-1.28%) $3.55Current Price$274.73Price as of December 15, 2025 at 9:46 AM ETApple shares have climbed 40% just in the past six months.With a market cap of $4.1 trillion, Apple (AAPL 1.28%) is always in the spotlight. This means that investors will constantly scrutinize how it's performing. The two key headwinds this year have been the impact of tariffs and the company's slow roll-out of compelling artificial intelligence features. Neither of these two factors is my mind right now. As we head into 2026, here's one reason I'm watching this "Magnificent Seven" stock closely. Image source: Getty Images. Apple's iPhone sales are strong During the fourth quarter of fiscal 2025 (ended Sept. 27), Apple reported 6.1% year-over-year revenue growth for its iPhones. And management forecasted an even better double-digit percentage gain for Q1 2026, which includes the critical holiday shopping season. The recently launched iPhone 17 models are seeing robust demand. This is a very encouraging sign. In fiscal 2025, 50% of Apple's overall revenue came from its iPhone lineup. This product still has a pronounced impact on the company's success. That's not changing anytime soon. Investors should pay close attention to how iPhone sales trend as the calendar turns to 2026. ExpandNASDAQ: AAPLAppleToday's Change(-1.28%) $-3.55Current Price$274.73Key Data PointsMarket Cap$4.1TDay's Range$274.51 - $280.0352wk Range$169.21 - $288.62Volume166KAvg Vol49MGross Margin46.91%Dividend Yield0.37% The valuation is still rich Apple is one of the world's most outstanding companies. You'd struggle to find investors that will argue with this statement. Advertisement However, the valuation doesn't look cheap. The stock trades at a price-to-earnings ratio of 37.2. About the AuthorNeil Patel is a contributing Motley Fool stock market analyst covering consumer staples, consumer discretionary, financials, information technology, and communication services. Prior to The Motley Fool, Neil worked in corporate finance roles at JPMorgan Chase and Capital One. He also has experience working on a start-up in the cryptocurrency space. He holds a bachelor’s degree in business administration with a specialization in finance from Ohio State University.TMFNeilPatelRead NextDec 15, 2025 •By Keith SpeightsThis "Magnificent Seven" Stock Could Be the Biggest Winner in 2026, According to Wall StreetDec 13, 2025 •By Keith SpeightsThese 3 Warren Buffett AI Stocks Could Be Big Winners in 2026Dec 12, 2025 •By Danny Vena, CPAPrediction: This Could Be the World's Most Valuable Stock in 2026, According to 1 Wall Street Analyst (Hint: Not Nvidia)Dec 9, 2025 •By Adria CiminoThis Tech Company is One of the Largest by Market Capitalization.
But Is Its Stock a Buy?Dec 6, 2025 •By Daniel SparksHere's Why Apple Is My Second Biggest Holding Going Into 2026Dec 5, 2025 •By Sean WilliamsBillionaire Warren Buffett Has Over $75 Billion Invested in 3 "Magnificent" Artificial Intelligence (AI) Stocks