The iPhone 17 Changed Everything For Apple - See China (Rating Upgrade)
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Uttam Dey5.35K FollowersFollow5ShareSavePlay(8min)CommentsSummaryApple Inc. is upgraded to bullish following a Q1 FY26 earnings report showing robust iPhone-driven revenue and margin expansion.iPhone 17 demand, especially in China (38% growth) and India, fueled AAPL's first mid-teen revenue growth in 16 quarters.Gross margins expanded to 48.2% despite rising memory costs, with management guiding for further margin expansion in Q2.AAPL stock valuation above 30x earnings is justified by sustained mid-teen growth, rising ASPs, and strong execution amid cost and AI concerns balanced by this new phase of mid-teens growth for Apple. J Studios/DigitalVision via Getty Images Investment Thesis Earlier this month I downgraded my views on Apple Inc. (AAPL) on the rising possibility of cost pressures on Apple’s iPhone and Mac lines of products. I also raised concerns about howThis article was written byUttam Dey5.35K FollowersFollowUttam is a growth-oriented investment analyst whose equity research primarily focuses on the technology sector. Semiconductors, Artificial Intelligence and Cloud software are some of the key sectors that are regularly researched and published by him. His research also focuses on other areas such as MedTech, Defense Tech, and Renewable Energy. In addition, Uttam also authors The Pragmatic Optimist Newsletter along with his wife, Amrita Roy, who is also an author on the newsletter as well as on this platform. Their newsletter gets regularly cited by leading publications such as the Wall Street Journal, Forbes, etc. Prior to publishing his research, Uttam worked in Silicon Valley, leading teams for some of the largest technology firms in the world, including Apple and Google.Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in AAPL over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.